***** Technical Analysis (September 29)****
The market bounced today after getting pretty oversold at Friday's close but the technical indicators may just be resetting for another downdraft in the next day or two. It will be crucial for bulls for there to be some bullish divergences if and when the market retests the recent lows or goes to lower lows.
The MACD, ROC, DMI (ADX), CCI, and McClellan Oscillators/Summation Indexes are negative while the Money Flow and Aroon remain positive despite last week's sharp decline.
Dow 9200 and S&P 500's 980 have held support so far but they could get tested this week. We are nearing 50 day moving averages again while 200 dmas are still far away, which is bullish.
Gold bounced up but gold stocks were off of their intra-day highs so lower prices in the days ahead could occur with this lack of bullish conviction. Bonds declined today though their short term up trend has not been reversed yet and the USD was subtantially weaker, which may weigh on stocks if it continues.
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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