Friday, June 24, 2016

Before the Brexit Results

Markets plumped for a non-Brexit. While markets closed higher there wasn't the volume to suggest a great degree of confidence in the finish.  As of writing, it would appear the market 'got it right' and an opening gap higher will emerge. What bears will be looking for is a bearish 'black' candlestick, which is a close below open despite a higher close than previous session (day).

The S&P is on course to tag upper broadening wedge resistance. Watch for a MACD trigger 'buy' as bulls look to press their advantage.

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Wednesday, June 22, 2016

Brexit Vote

With Thursday's vote coming up, it's looking unlikely markets are going to make a sudden move before then.

The S&P posted a small gain and helped to relieve the pressure exerted on bulls by yesterday's late selling.

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Monday, June 20, 2016

Brexit Relief Rally Fades

A positive day on suggestions Brexit may not happen invited bulls back to market, Action to this point had the look of a pullback swing low (at least as from Thursday's action), so it was easy for buyers once it was clear there was a strong premarket. What was disappointing was the late sell off, which probably did more damage than Friday's selling, but this can be rectified with a Tuesday close inside the upper part of today's intraday range.

For the S&P, today's action meant an inverse hammer crossover of the 20-day and 50-day MAs. It's interesting to see stochastics [39,1] court the bullish midline in what would traditionally be a buying opportunity - so on the chance bulls are able to open the S&P above today's close then today's damage on the intermediate time frame (up to 3 weeks) may be slight.

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Sunday, June 19, 2016

Friday's Action Overshadowed By Thursday's Buying

Bears returned on Friday, but weren't able to undo the action of bulls from Thursday. Volume did climb, registering as distribution, but Thursday's lows held.

The S&P turned net bearish with stochastics [39,1] crossing below the mid-line. While relative strength (to the Russell 2000) improved.

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