***** Technical Analysis (week ending Sept 10)****
The market rallied modestly this past week again as volume picked up and the Nasdaq led the way.
The Nasdaq monthly stochastic rose to 71% crossed down, weekly 46% crossed up now, daily 99% crossed up, hourly 93% crossed. The McClellan Oscillator rose to +50, and its Summation is rising at -218. It is nearing another resistance point which is at 1900.
The Nasdaq MACD, DMI and Money Flow remained positive while the Williams%R, Acc/Dist and the Aroon improved to positive. As I mentioned before, by the time the Aroon improves to neutral or positive, the market may be ready to reverse back down, at least as a correction.
The Dow monthly stochastic improved to 86% going sideways, weekly improved to 70% crossed up, daily 91% crossed up, hourly 99% crossed up but going sideways, with a high "d." The NYSE McClellan Oscillator was virtually unchanged from last week at +34 and its Summation is rising at +841.
The Nasdaq is still operating with the "cross of death" but is above its 50 dma and below its 200 dma.
The bulls continue to have the edge in the near term technically the market appears better but some bearish divergences have started to show up in the DMI (ADX) and ROC.
We are overbought and a few more days of rallying will get us to very overbought.
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.
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