INDEX UPDATE
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Hope everyone had a great Thanksgiving, I did. Well, today will be taking my daughter back to school, which is a 10 hour round trip - UCK, but guess that is father's are for.
OK, my technicals are showing a distinct divergence between the the HI-TECH and the NON-HITECHS.
Many of the Non-HiTechs are back in or near the overbought region while the HiTechs are still at their lows. The PNX, UTY are setting new highs, and the majority of the Non-HiTechs are near and approaching their highs. Many of the previous peaks have been pierced to the upside, which is a healthy sign for upward movement.
UGH, the Hi-Techs, especially the SOX does not look anywhere as healthy as the Non-HiTechs. With some of the Hi-Techs, they have recently set lower lows and have not net approached/pierced the previous highs, IE: SOX.
My GUITAR analysis is indicating that there are 3 possibilities:
1) The Hi-Techs could pull the rest of the market down
2) The Non-HiTechs could pull the HiTechs up
3) The Non-HiTechs and HiTechs could converge where the Non-HiTechs would drop a little or remain flat, and the Hi-Techs would rise some in an attempt to play catch-up.
At this time I am leaning towards the more positive situation indicated in 3) and 2).
As I indicated in previous posts when the DOW was around 7500, I still maintain that the DOW will be in the the 7900-8000 range by XMAS. Now of course it is easier to say that it can go higher. The 7900-8000 range by XMAS should be no surprise, but I guess the key is that there are no strong indications that it will drop substantially.
I have some indications of CLASS 1 and CLASS 2 buys for tomorrow in the indexes, but my analysis is not yet fully complete, since ALPhacharts is still down. Is anyone getting Alphacharts.
Hope everyones Thanksgiving was as good as mine. |
