Yesterday’s session for the US markets was an important one. If the fall from the May highs was corrective yesterday’s low on the S&P 500 should have stayed above 1298. The fact that it did drop to 1296 is an indication the rally from the June lows was possibly an artificial rally manufactured by the […]
Yesterday’s drop in the S&P 500 below the breakout level of 1129 is once again looking like a failed breakout. As highlighted in my September 2nd post there have been 3 fake out’s since June already. And each of these fake out’s have resulted in a 6-8% move in the opposite direction. As highlighted in […]
Wall street: Money Never Sleeps is getting released in the US today. This is the third movie titled wall street. The first feature film was released in Dec 1929 and the second one ( Chart-buster starring Charlie Sheen and Michael Douglas) was released in Dec 1987. Strangely, markets saw a big crash in 1929 as well as in 1987. […]
The S&P busted through the resistance level at 1131 and in the process completed the inverse head and shoulder pattern. While conventional measuring techniques provide a price objective of 1250, it is another topic if the S&P can take out the April high of 1220 and would go all the way to reach this price objective. I […]
As a trader it’s very important that one remains open minded in the market to see the patterns and trends that are evolving. With the S&P surging to one of it’s sharpest gains in the last 2 month’s, I did try to take a view on markets like someone starting today on a clean slate. […]
The Grand Daddy of technical analysis, the Dow Theory, indicated that the US markets have slipped into a primary down trend – in other words known as a bear market. The Dow Industrials closed below its May trough of 9810, a day after the Dow Transportation Index closed below its May trough of 4034. I’m […]
The Dow Theory “buy signal” that was in effect from last July, got another reconfirmation today with the Dow Industrials closing above its January high of 10725. With this, all the three Major US Indices(Dow, S&P and Nasdaq) are clocking higher highs and higher lows thereby implying that the primary up trend that began in […]
Dollar Index’s (DXY) December-February rally had once again raised the spectre of deflation and had pinned down the equity markets. The recent rally off the Feb lows in equity markets is interesting, given the fact that the DXY has had a strong inverse correlation with equities since the Lehman collapse and it has hardly retraced […]
While the Dow Industrials and S&P 500 are yet to take out their 52 week high’s the small cap Russell 2000 has scaled above its 52 week high and is holding well above it. This shows that the risk appetite of investors is still alive and kicking. In yesterday’s session, the Nasdaq composite too notched […]