***** Technical Analysis (October 29)****
The market managed a modest gain today, Wednesday, on moderately heavy volume. The Dow is just two rally days away from 10,000 and the Nasdaq is 2-3 rally days from 2,000. However, late this week the GDP numbers will be coming out and if they are disapponting, the market could decline as the expectations are quite high.
The Nasdaq TRIN was again neutral, this time at 1.01, with a/d of 19/12, up/down volume of 3/2, indicating some accumulation but not too strong, on 2.0B shares. The technical indicators were unchanged except the MACD which is improved to slightly negative.
The Nasdaq McClellan Oscillator rose to +11 from +1, and the 10% index is above the 5% index and above the zero line, all mildly positive signals in the near term, and a follow-through is needed in a day or two to confirm the new up trend. The stochastics are crossed up on all timeframes.
The NYSE TRIN closed at a mildly positive .86, with a/d of 21/12, up/down volume 2/1, on moderate volume of 1.5B shares. The McClellan Oscillator turned positive today at +6 from -3, and its 10% index is above the 5% index and the zero line.
The VIX MACD crossed back down which is positive while the VXN MACD is uncrossed. The NYSE specialist/public short sales ratio has been well above 1.00 for a long time now so it remains quite positive.
The bond market was weaker today and the next major move may be determined by the action by Friday. A strong GDP report might cause bonds to sell off. Gold stocks were mixed while the USD has weakened a bit in the past week or two.
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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