***** Technical Analysis (August 25)*****
The market was sluggish most of the session but a later rally pared the losses to almost flat while market internals were weaker than the indices.
The Nasdaq TRIN closed at a mildly negative 1.14, with a/d of 13/18, up/down volume 2/3, indicating mild distribution, on very light volume of 1.1B shares. The CCI worsened to neutral while the others remained the same.
The Nasdaq McClellan Oscillator fell to +1 from +12 and needs an immediate boost to keep from turning the Summation back down, which could portend a substantial move downward.
The NYSE TRIN was also a mildly negative 1.14, with a/d of 13/19, up/down volume 7/11, indicating mild distribution, on very light volume of 950M shares.
The NYSE weekly stochastic is at 90% going sideways, daily 69% going down, hourly 14% going up, so we could get a near term and temporary bounce tomorrow.
The Nasdaq weekly stochastic is 90% going up, daily 72% going up, and hourly 18% going up. So while a bounce is possible tomorrow, there is also a likely move down soon.
The market seems to be hanging on to dear life from a technical standpoint, with the indices stronger than the indicators, a bearish development, and indicative of a topping formation.
The sentiment indicators have worsened a bit from a contrarian view.
Gold stocks weakened slightly while bonds were little changed.
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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