The U.S. stock market is currently experiencing a mania fueled mostly by the Technology stock sector. The main stock indices continue to move higher in spite of bearish momentum and sentiment divergences. The current mania is a pale shadow of the major Technology stock mania from late 1999 to early 2000. The daily Nasdaq 100Continue reading ” Mini Mania”
Category Archives: Momentum
S&P 500 – Sector Analysis
State Street SPDR divides the S&P 500 into 11 – sector Exchange Traded Funds (ETF). An examination of two of the sector ETF’s and one sub sector reveals insights to the broader U.S. stock market and economy. The weekly Financial sector ETF – (XLF) and Technology sector ETF – (XLK) chart courtesy of Trading ViewContinue reading “S&P 500 – Sector Analysis”
Subtle Bearish Signs
On 07/13/23 U.S. stocks continued to rally. However, there were small signals that hinted the bears could be ready to pounce. Both the S&P 500 (SPX) and Nasdaq Composite made new post October 2022 rally highs. This suggests the rally could continue for at least one trading day. The third main U.S. stock index, theContinue reading “Subtle Bearish Signs”
Two U.S. Stock Indicators to Watch
Today 7/12/23 two of the three main U.S. stock indices moved to new post October 2022 rally highs. The new highs came beyond the leeway time zone for the expected Spiral Calendar top due late June 2023 – illustrated in the 06/22/23 blog. Today’s highs also invalidated Fibonacci price and time relationships shown in theContinue reading “Two U.S. Stock Indicators to Watch”
Examination of Long and Short – Term Interest Rates – 07/07/23
The 04/30/23 blog “Examination of Long and Short – Term Interest Rates – 04/28/23” noted the 30 – Year Treasury Yields (TYX) from its peak in October 2022 appeared to be forming an Elliott Wave – Horizontal Triangle. The daily TYX chart courtesy of Trading View updates its action. On 07/07/23 TYX exceeded the peakContinue reading “Examination of Long and Short – Term Interest Rates – 07/07/23”
Bearish Signals From the German Stock Index
The German Stock Index (DEU40) appears to be in the early phase of a significant bear move. The daily DEU40 chart courtesy of Trading View illustrates the action. In mid – June 2023 the DEU40 made a new all-time high. The pattern up from September 2022 bottom counts as an Elliott – five wave Impulse. Continue reading “Bearish Signals From the German Stock Index”
At the Summit?
On 06/30/23 the S&P 500 (SPX) made a new post October 2022 rally high. Time cycles indicate a potential top late June to early July 2023. U.S. stocks could be on the verge of an important summit. The 06/27/23 blog “Start of the Final Rally?” noted “The end of the second quarter is 06/30/23, there’sContinue reading “At the Summit?”
Shallow Correction Complete?
On 06/21/23 the S&P 500 (SPX) declined .52% while the Advance/Decline was almost flat. Today 06/22/23 the SPX was up .37% while the NYSE Advanced/Decline line was 2.3 to 1 in favor of declining stocks. The hourly chart courtesy of Trading View illustrates the short-term action. The SPX failed to reach the target support zoneContinue reading “Shallow Correction Complete?”
Shallow Correction – 06/21/23
From 05/25/23 to 06/16/23 the S&P 500 (SPX) was in a strong and steady rally. Corrections of these rallies are usually short and shallow. The crowd recognizes the trend and are eager to buy a decline. Those holding long are reluctant to sell. The drop from the 06/16/23 peak could be shallow. The hourly SPXContinue reading “Shallow Correction – 06/21/23”
S&P 500 Topping Zones
The S&P 500 Bullish Percent Index ($BPSPX) is signaling a potential S&P 500 (SPX) topping zone. The Bullish Percent Index is a breadth indicator that shows the percentage of stocks on Point & Figure buy signals. This indicator is good at identifying developing bearish stock market momentum. There are usually several bearish divergences before anContinue reading “S&P 500 Topping Zones”
