***** Technical Analysis (October 23)****
The Nasdaq TRIN did indeed close worse than yesterday at 1.53 but the overall internals and indices were rescued by a rally in the second half of today's session as the market was mixed.
The Nasdaq was the weakest index and had a/d of 13/18, up/down volume 1/2, indicating mild distribution, on moderately heavy volume of 1.9B shares. The Williams%R worsened to negative while the RSI dropped to 49.7 and the other indicators remained the same.
The Nasdaq McClellan Oscillator declined to -33. The NYSE Oscillator fell by only 3 to -31, so another major move signal is in place.
The Nasdaq reached a low of 1874 but the gap at 1842 remains and the 50 dma is at 1850 now, so Friday, or more likely, early next week could see it get filled. Early Friday should see a bounce that fails by early next week in order to get the McClellan Oscillator to more extreme levels, for at least a temporary bottom.
The VIX and VXN MACDs are still crossed down, so the intermediate term outlook for the market is still positive.
Stochastics are mixed, with the hourlies crossed up now, indicating a bounce on Friday, while the dailies and weeklies are crossed down, implying more weakness after the bounce.
Other markets were pretty quiet, i.e. precious metals, bonds, USD, and the energy complex.
Dr.Bob's commentaries are not to be construed as recommendations to buy or sell stocks, options, or ETF's as Dr.Bob is not a Registered Investment Advisor. Information and data provided here is believed to be reliable but cannot be guaranteed to be accurate.
Always do your own research and due diligence before investing or trading. Remember that Technical Analysis can change by the day, and as such, one day's TA may not be the next day's TA interpretation.
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