Monday, May 11, 2009

Weekly Stock Charts review from Stockcharts.com Publishers

Rally keeps its feet in the air. Battleground defined by 200-day MAs. What had the Stockcharters to say about it.

Top of the pile this week (for the first time) was Tomas Lesxczyski of Santoren.com. Interesting band analysis of the 60-min SPX; moving to a new elevation - but will rollover once top band is tagged?


I like the bottom bounce call here; one more down leg to come?


Positive turn in accumulation after the SPY has tacked on considerable gain!


Yong Pan of Cobrasmarketview has mostly neutral signals in the short term with a mix of bull/bear on the intermediate time frame; probably not as toppy as the charts look?


Yong Pan has cued for a major move based on tightening of B.Bands.


'Sell' signal in the daily SPY:


Breadth remains on the 'buy' side:


I really like the call for a head-and-shoulder reversal on the weekly; 750 looks a good place for support on a retracement.


Anthony Caldaro of Elliot Wave Blog offers up a more negative prognosis on the monthly S&P; if the ABC doesn't morph into a flat the 'C' wave could be painful:


Dr. Joe gives the week in review. Note his last comment on indices Point-n-Figure 'buys':


Agree bulls need to defend 20-day MA if pressure is to be maintained on the 200-day MA


Back to the Future; January 2009


The Value Line is rocking; that summer reaction low in 2008 looks like the next point of potential resistance:


Finally, the comments from Richard Lehman on the market channels:

5/10 -- Having broken the one-year downtrend lines from last fall, it seems inevitable that things are heading to the upper lines of the decline that began in 2007. That would certainly coincide with the prevalent view that there is now light at the end of the recession tunnel and that managers must therefore get fully invested again. A few things hiccupped last week, but nothing that caused a break in the Energizer Bunny Short Term Uptrend that began in March. (A minor break in the techs at the mini level did not break on the hourly chart.)

We are again near or at the upper lines on short term charts and mini channels, so quick sell-offs can occur, but they are going to get bought. Options week could add some choppiness, but how can you fight people that are so bullish they are looking two years out on the bank stocks and seeing them as bargains on 'normalized' earnings. (That means ignore the huge losses in book value that are still getting worse and just focus on earnings.)

5/7 -- Holy stress test, Batman! There was magic in the charts tonight!! Just about every major average spiked up to a peak right on the short term blue minichannel lines and reversed. The Dow and SPX then came down to the bottom blue line, touched those perfectly as well, and reversed back up at the close. For the Dow, that made 5 perfect lower touches and 6 perfect upper touches to that blue mini channel in nine days -- awesome!! And our favorite XLF hit upper lines and also peaked out on the short term chart.

The longer picture also had plenty of magic. The Naz hit its upper three-year line perfectly and reversed. QQQQ went over just slightly before reversing. DXO hit its upper one-year line and reversed. XLE hit its one-year perfectly and reversed.

So, what broke?? QQQQ, XAU, and XLE broke their very steep mini channels, but so far, that's all. The QQQQ may have broken a green upchannel, but its more likely a slope change thus far. But that doesn't mean we're going back to new highs necessarily.

Dr. Declan Fallon, Senior Market Technician, Zignals.com the free stock alerts, stock charts, watchlist, multi-currency portfolio manager and strategy builder website. Forex data available too.

 
f9229fcfd1b1390be00cfccc86c90349c93a4179bf4227457c