I describe the market action before the opening bell and after the close and discuss set-ups for the next day.
Key Market Internal signals flashed negative divergences and non-confirmations of recent S&P 500 and SPY 2009 price highs, setting up the high probability for a reversal to the downside.
I wanted to highlight a chart I’ve been showing to members of the daily Idealized Trades Reports since Wednesday evening – we’re now seeing the downward action forecast by the plunge in Market Internals. Let’s take a look at the updated chart.
In continuing the thought from yesterday’s post “A Look at the Dual Rallies in the US Dollar Index and S&P 500,” I wanted to show a longer-term perspective of the two markets, starting with the S&P 500’s October 2007 peak. This will give us more ground to cover in assessing the inverse correlation between the Dollar and the S&P 500.
With many eyes focusing on the dual (and puzzling) rally in both the US Dollar Index and the S&P 500, I thought it would be good to go back starting with the March 2009 lows and see how many times this has happened recently – it turns out that there have been two times that the S&P 500 and US Dollar Index rallied simultaneously. Let’s see them.
… and “Familiarity Breeds Contempt.” Let’s take a quick pure price look at the recent five overnight gaps in the SPY – S&P 500 during the oozing uptrend that is taking place in the holiday bullish seasonality in the US Equity Markets.
Let’s take a quick look inside the recent SPY (S&P 500 ETF) rally as seen on the 15-minute intraday frame – we’re seeing volume and momentum divergences juxtaposed with rising moving averages and trendlines, so what does that mean and is that unusual? Let’s see.
Let’s take a holiday look at the current 60 minute chart of the SPY – the S&P 500 ETF to see a new upward sloping range along with volume and momentum insights.
Following-up from my prior post “Knock, Knock, Knocking on Fibonacci’s Door,” I wanted to post a quick update on the current intraday S&P 500 Index chart to see just how important this level is and how buyers and sellers are playing ‘chicken’ at this level. Who will be the first to … crack?
To quote an old song by Bob Dylan, the S&P 500 is “Knock, Knock, Knocking on Fibonacci’s Door,” … meaning the intraday S&P 500 keeps bumping against this critical level of resistance that marks a key turning point between Bull and Bear. Let’s take a closer look.
If you’ve been trading or following Baidu (BID) lately, then you know how much price (and investors) have been on a roller coaster lately! Let’s get a quick update on BIDU and view the recent recovery which is now being eroded in what could be shaping up to be the colorfully termed “Dead Cat Bounce” pattern.
Per a reader’s comment, I wanted to show a quick reference grid of the NASDAQ Index stretching back to the 2000 peak above 5,000 and show three dominant Fibonacci Grids to watch as price moves into the future.
Let’s see the 10-year grid, starting with the 2000 high and stretching to the 2002 low.