***** Technical Analysis (November 7)****
The market reversed down after a gap opening on the hourlies, implying weakness early for the next session. Support may be found at Dow 9600 and Nasdaq 1949 (10 dma), and bulls will want to see a positive reversal at those levels.
The indices have stalled here after having reached new recovery highs as profit-takers abound.
The Nasdaq TRIN closed at a mildly negative 1.11, with a/d of 16/15, up/down volume 9/10, indicating mild distribution, and the Aroon worsened to neutral while the others remained mostly positive.
The Nasdaq McClellan Oscillator changed by oly 3, dropping to +10, signalling a possible major move within 4 sessions as the Oscillator is congesting and getting wound up like a rubber band.
The NYSE TRIN closed at a mildly negative 1.19, with a/d of 17/14, up/down volume 1/1, on 1.4B shares. The McClellan Oscillator fell by only 1 to +10, signalling a major move is possible here as well.
The stochastics are mixed, with the hourlies crossed down while the weeklies are crossed up and the dailies up for the Nasdaq and uncrossed for the NYSE.
The market didn't move today on the positive labor statistics and we shall see whether this is due to time needed for more inflows and profit-taking to lessen.
Gold stocks were a little weak while bonds continue weak and remain in an intermediate downtrend. Gold charts show a possible double top reversal formation with support at $365/oz for spot and Comex.
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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