*****Announcement: I am organizing and hosting an upcoming Las Vegas multi-day trip, which serves 3 purposes:
1) To provide an opportunity for Ask DrBob posters and lurkers to meet each other, finally!
2) Dr. Bob will host an informal TA meeting for all to share their TA strategies in person. Bring laptops.
3) Private meeting for those interested in learning about a joint-venture investment situation, in which I am investing in. It is exceptional.
For those interested in any of the aforementioned reasons for the Las Vegas meetings, private message me here at SI or email me: drbob512@msn.com
***** Technical Analysis (week ending June 25)****
The markets were mixed this past week with most of the internals and technical indicators little changed except on the Nasdaq which were somewhat stronger. The Nasdaq did experience the "cross of death," but it has not been confirmed by stochastics, Summation Index, or MACD.
The McClellan Oscillator rose for the week to +29 and the Summation has risen to -226 and is now within striking distance of the important zero line but volume needs to increase during rally days to ensure a breakout.
The Nasdaq monthly stochastic improved to 87% crossed up. The weekly rose to 69% crossed up, daily improved to 89% crossed up. The RSI rose to 59.
The MACD, Williams%R, CCI and DMI (ADX) improved to positive, while the Acc/Dist remained neutral and the Aroon remained positive.
The Dow monthly stochastic declined marginally at 89% crossed up, weekly declined to 57% crossed up, daily declined to 71% crossed down, hourly declined to 41% crossed down. The NYSE McClellan Oscillator rose 1 to +27. The Summation rose to +379. The Dow has resistance at 10,570 and 10,750 and will probably try to test at least the first one next week.
The way the market is acting, the blue chips will probably need to have sharp declines before we have a tradeable bottom. Also, intermediate term indicators will need to get more oversold and there is a possibility of a selling climax after the market trades lower. Those will be some of the signs I will be looking for before considering the market is due for a trend reversal.
In the meantime, this rally should be watched carefully, and some signs of a top might be found in the month of July unless we get heavy volume rally days which would usher in a longer term rally than just a few days.
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.
Dr.Bob's mission is to teach Technical Analysis and demonstrate a structured approach to Market Analysis, for position and swingtrading. There are many other TA structures, strategies and systems.
Dr.Bob no longer hosts Stocktimers meetings on Sunday nights at AOL. |
