Category Archives: Momentum

S&P 500 Internal Momentum – 05/17/24

Internal momentum indicators measure the components of a stock index, for example advance/decline lines or new highs/lows.   Internal momentum indicators give a view of action underneath the surface of price. The first chart shows the daily Bullish Percent Index for the S&P 500 ($BPSPX) courtesy of StockCharts.com. The Bullish Percent Index  is a breadth indicatorContinue reading “S&P 500 Internal Momentum – 05/17/24”

S&P 500 – External Momentum – 05/17/24.

External momentum indicators are derived from price action, they measure the speed of a market and aid in determining overbought/oversold conditions. The daily S&P 500 (SPX) chart courtesy of Trading View shows what’s been happening in 2024. Daily Stochastic has reached the overbought zone and has flat lined.   On a daily scale Stochastic could continueContinue reading “S&P 500 – External Momentum – 05/17/24.”

Short-Term Action of U.S. Stock Indices – 05/17/24.

The 30 – minute S&P 500 (SPX) chart courtesy of Trading View updates its Eliott wave count. There’s a good chance the SPX completed Minor wave “4” of the extended Impulse wave that began on 04/19/24.  The bottom on 05/17/24 was very close to a .382 Fibonacci retracement of the presumed Minute wave “v” ofContinue reading “Short-Term Action of U.S. Stock Indices – 05/17/24.”

Updated Long – Term S&P 500 – Elliott Wave Count – 05/16/24.

The S&P 500 (SPX) has entered the territory of potential major Fibonacci resistance. For several months this website has speculated that the SPX from its January 2022 peak could be forming an Elliott wave Expanding Flat corrective pattern.   The following illustration is an Expanding Flat in a bull market. Expanding Flats are composed of threeContinue reading “Updated Long – Term S&P 500 – Elliott Wave Count – 05/16/24.”

New All-Time Highs – 05/15/24

Three factors imply the rally in U.S. stocks since the  04/19/24 bottom could continue for at least a few days. On 05/15/24 all three main U.S stock indices, S&P 500 (SPX), Dow Jones Industrial Average  and Nasdaq Composite made new all-time highs.   Today’s move invalidated a bearish “Rule of the Majority” signal made on 03/28/24Continue reading “New All-Time Highs – 05/15/24”

Continuing Relative Weakness of the Russell 2000

The 04/28/24 blog “Russell 2000 Relative Weakness to the S&P 500” illustrated the long- and short-term bearish divergence of the Russell 2000 (RUT) to the S&P 500 (SPX).   As of 05/10/24  RUT continues  to diverge from the SPX and could be a bear market omen. The daily SPX and RUT chart courtesy of Trading ViewContinue reading “Continuing Relative Weakness of the Russell 2000”

Resistance Breakthrough – 05/10/24

On 05/09/24 the S&P 500 (SPX) marginally broke through “Volume Profile” resistance in the low 5,200 area.  On 05/10/24 there was a decisive move above resistance.   Unless the SPX can break below 5,200 it could soon at least return to the 03/28/24 all-time high. The daily SPX chart courtesy of BigCharts.com  updates the external momentum.Continue reading “Resistance Breakthrough – 05/10/24”

  Russell 2000 – Update – 05/03/24

May, 6 2024 could be an important day for the Russell 2000 (RUT)  and the U.S. stock market.  A strong move up could open the door for the RUT and other U.S. stock indices to make new 2024 highs.  A significant move down implies a resumption of the decline that began in late March 2024. Continue reading ”  Russell 2000 – Update – 05/03/24″

U.S Stock Market Momentum Remains Bearish

U.S. stocks had a wild ride on 05/01/24  – U.S. FOMC interest rate announcement.  By the end of the 05/01/24 session the  huge rally after the FOMC press conference had been completely retraced.  Daily and hourly momentum remains  bearish, implying the next wave of  post March 2024 bear move may have begun. The daily S&PContinue reading “U.S Stock Market Momentum Remains Bearish”