Category Archives: Momentum

Bull Market Rally vs. Bear Market Rally

In bull market rallies stock indices trend together.  Making new highs at about the same time and declining together.  Moves up during large bear markets tend to be more erratic. A comparison of the post October 2022 U.S. stock market rally with a prior bullish phase reveals some interesting insights. The U.S. stock rally thatContinue reading “Bull Market Rally vs. Bear Market Rally”

Divergences Continue – 06/01/23.

Today 06/01/23 the S&P 500 (SPX) made a new post October 2022 rally high unaccompanied by either the Dow Jones Industrial Average, or the Nasdaq Composite.  A bearish “Rule of the majority signal.  Additionally, the VIX low today was 15.58 vs. its 05/01/23 reading of 15.53.  This higher VIX bottom retains the VIX topping signal.Continue reading “Divergences Continue – 06/01/23.”

Philippines Stock Exchange – Break Below Important Support

The Philippines Stock Exchange Index (PSEI) broke below a short-term rising trendline and the 05/26/23 bottom at 6,496.47.  This low is also close to a Fibonacci .618 retracement of the 03/16/23 to 05/08/23 rally.  The daily PSEI chart courtesy of Trading View updates the action. The break of support implies a short – term moveContinue reading “Philippines Stock Exchange – Break Below Important Support”

          Outrageous Bearish Divergences – 05/26/23

On 05/26/23 the Nasdaq Composite (IXIC) was the only one of the three main U.S. stock indices to make a new post October 2022 rally high.  The S&P 500 (SPX) 05/26/23 high was 4,212.87, its 05/19/23 post October 2023 rally high was 4,212.91 a difference of only 4 – ticks!  This is an example ofContinue reading ”          Outrageous Bearish Divergences – 05/26/23″

This Could be the Start of Something Big

The something big could be a multi – month decline to at least the S&P 500 (SPX) October 2022 bottom. The SPX 15 –minute chart courtesy of Trading View examines the short – term picture. The SPX drop from its 05/19/23 top appears to be a developing  Elliott impulse wave and today, 05/24/23 broke belowContinue reading “This Could be the Start of Something Big”

Upside Breakouts -05/18/23

On 05/17/23 the Nasdaq Composite (IXIC)  appeared to have an Elliott wave – Ending Diagonal Triangle (EDT) climax throw over.  If this wave count was correct the throw over should have been completely retraced quickly.   On this scale that means today.  There was no retracement and IXIC went higher invalidating the EDT wave count. Additionally,Continue reading “Upside Breakouts -05/18/23”

The Last Gasp for U.S. Stock Bulls?

On 05/16/23 the Nasdaq Composite(IXIC) momentum was bearish, and it appeared that an important top may have been made.  Today  the U.S. stock bulls blasted all three main stock indices higher.  On the surface it looks like this could be the start of a sustained advance.   An examination of the IXIC  – Elliott wave patternContinue reading “The Last Gasp for U.S. Stock Bulls?”

Probable Nasdaq Top – 05/16/23

Today 05/16/23 the Nasdaq Composite (IXIC) was the only one of the three main U.S. Stock indices to exceed its 05/15/23 high.  Throughout the day there were more Nasdaq stocks declining than advancing. The 15 – minute IXIC chart courtesy of Trading View updates the Elliott wave count. The Elliott wave – Ending Diagonal TriangleContinue reading “Probable Nasdaq Top – 05/16/23”

Nasdaq Could be Near an Important Top

Recently the Nasdaq Composite (IXIC) has been making new post October 2022 rally highs unaccompanied by the S&P 500 and the Dow Jones Industrial Average.  This by itself is evidence that the U.S. stock  rally from the 10/13/22 bottom is losing strength.  An examination of Nasdaq momentum indicators reveals its rally is weak and aContinue reading “Nasdaq Could be Near an Important Top”