***** Technical Analysis (week ending March 26)****
The Dow fell and then rallied this week. The Nasdaq has been weaker for a few months now but rallied the strongest late in the week. The S&P 500 has been one of the strongest indices of late but it was flat this week.
The Nasdaq TRIN closed Friday at .92, 60 minute stochastic crossed up (a negative in the near term), a/d of 1/1, up/down volume 1/1, on light volume of 1.6B shares. Its a/d line is negative now and weaker than the NYSE a/d, as is its Summation Index. The McClellan Oscillator improved to -3 as selling pressure dissipated. Summation is at -402, but has flattened out now.
The Nasdaq monthly stochastic is 81% crossed up, weekly 29% crossed down, daily 38% crossed up, hourly 82% crossed down. The MACD, Williams%R and CCI improved to neutral this week while the DMI(ADX), Money Flow, Acc/Dist and Aroon remain negative. The RSI rose to 46 this week. Nasdaq is below its 50 dma (2034) but above its 200 dma (1892), and the index may bounce up towards the 50 dma and if it cannot reach it or break above it with authority, it will likely fall to the 200 dma, at a minimum.
Favorable seasonality is close to ending and the time period of May to October is typically weak.
The Dow monthly stochastic is 84% crossed up, weekly 53% crossed down, daily 29% crossed up, hourly 80% crossed down. The NYSE McClellan Oscillator improved to -19 and Summation Index has now declined to +321.
The USD remains in a trading range between 87-89 while gold rallied to the 422 level, and silver closed just above 7.70. Bonds weakened late in the week and energy fell.
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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