Category Archives: Momentum

The S&P 500 (SPX) opened the 05/19/21 session down sharply and below the supposed “b” wave low of a rising Elliott wave – Single Zigzag.  A  25% short of non-leveraged SPX related funds was initiated at the opening SPX price of 4073.77. Use a move above SPX 4207.90 as the stop loss for the 25%Continue reading “Next Wave Down Likely Underway 05-19-21”

The 02/15/21 blog “Using Bitcoin as an Indicator for the US Stock Market” examined the relationship between  Bitcoin in US Dollars (BTCUSD) and the S&P 500 (SPX). The weekly BTCUSD/SPX chart courtesy of Trading View  updates the relationship. The most striking feature of this chart is the dramatic BTCUSD bull move from March 2020 toContinue reading “Bitcoin Relationship to US Stocks”

The two-day rally of US stocks looks impressive in terms of the S&P 500 (SPX) which has risen 69% from its late 05/12/21 bottom.  However, the Dow Jones Industrial Average (DJI) has climbed 58%, and most significantly the Nasdaq Composite is up only 37%. The 30 – minute chart courtesy of Trading View illustrates theContinue reading “Lack of Harmony”

On 04/29/21 Amazon.com Inc (AMZN) released its first quarter earnings that crushed estimates. Revenue was up 44%, profits were up an incredible 224%! The next day 04/30/21 AMZN rallied to 3554.00 marginally above its all-time high made 09/02/20.  AMZN  finished the 04/30/21 trading session down 3.89, at the close 05/10/21 AMZN was down 10% fromContinue reading “The Amazing Amazon.com”

At the close of trading 04/22/21 it looked like the US stock market was in the process of a bearish rollover. The next day – bulls strongly disagreed. On the surface the  powerful rally looks sustainable, viewed in a broader context it reveals many bearish signals.  When only one of the three main US stockContinue reading “Bearish Rule of the Majority Signal”

Today 04/22/21 the S&P 500 (SPX) came within eleven points of making a new all-time high before turning down sharply.  Neither of the other  two US main stock indices, Dow Jones Industrial Average or the Nasdaq Composite were able to make new all-time highs. Today may have been the  bulls last gasp to keep theContinue reading “Stocks Rollover”

Today 04/05/21 the S&P 500 (SPX) reached an 86.3% gain from its 03/23/20 bottom. This move in a little more than one year is mind boggling and rare. Momentum and sentiment bearish divergences abound which have been documented in recent posts.  The daily SPX chart courtesy of Trading View illustrates daily RSI and MACD bearishContinue reading “Buying Panic?”

Toady 3/30/21 the S&P 500 (SPX) had a shallow decline. More importantly, the Russell 2000 (RUT) was up for most of the day.  Recently RUT has been lagging the SPX. The daily RUT and SPX chart courtesy of Trading View illustrates the recent action between the two indices. RUT’s most recent correction was down aboutContinue reading “Weak Stock Market Decline”

Toady 03/09/21 the Dow Jones Industrial Average (DJI) made a new all-time high unconfirmed by the other two main US stock indices S&P – 500 (SPX) and Nasdaq Composite (IXIC). This is what I call a “Rule of the majority” signal and is an indication of weaking upside momentum, a healthy rally would have allContinue reading “Dow Jones Industrial Average and Nasdaq – 100”

Of the three main US stock indices, S&P 500 (SPX) , Nasdaq Composite (IXIC), and  Dow Jones Industrial Average (DJI) – the Nasdaq Composite  has the deepest decline from its all – time high. These are the comparative drops for each index :    DJI -4.5%                                                                                       SPX -5.75%                                                                                       IXIC – 12.5% My 02/25/21 blogContinue reading “Nasdaq – 100 and S&P – 500 Comparison”