Weekly Stock Market Commentary

Labor day weekend is here but last Thursday's and Friday's action brought the market back from what had looked at the start to be a typical seasonal weak September. The strong finish helped the S&P hold the 1,000 level; the bearish divergence in the MACD held as Stochastics bumped along overbought levels.


The Nasdaq is working on clearing the 2,020 resistance level (changed from the previously listed 2,010; 2,020 is more accurate). As with the S&P there is the bearish MACD divergence and heavily overbought stochastics to work from:


Sentiment held to bearish form for both Nasdaq and NYSE:



It's only a matter of time before weak sentiment catches up with the averages.


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.