***** Technical Analysis (August 19)*****
The Nasdaq and technology stocks rallied again today while blue chips and the Dow were pretty flat.
The Nasdaq TRIN was a positive .64, with a/d of 20/11, up/down volume almost 3/1, on moderately light volume of 1.7B shares, which is an increase from the volume of the lst two weeks, but a far cry from being heavy volume.
The Nasdaq MACD, Williams%R, DMI (ADX), CCI, Money Flow and Acc/Dist are positive while the RSI rose to 64.7. The McClellan Oscillator rose to +30 from +20 and the 10% index is above the 5% and the zero line, implying a bit more upside is likely.
The NYSE TRIN was a mildly positive .84, with a/d of 21/11, up/down volume 9/4, on light volume of 1.3B shares. The McClellan Oscillator rose to +38.
The a/d line and new highs/new lows are positive in their trends, with the former regaining some strength.
The VIX and VXN have improved and their MACDs are crossed down.
The breadth of this rally has improved while the technical indicators are mostly positive but not extremely so at this point.
The S&P 500 may test the 1015 level this week and the Nasdaq 1776 as well. The market is not overbought yet so we shall see if the positive momentum will pick up steam or will fade.
Gold rose again and has not given signs of a trend reversal despite occassional pullbacks. The bond market is pretty uneventful despite some minor rallies.
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.
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