Semiconductors Take Hit as Large Caps Rally
A Tale of Two Cities as Large Caps keep bullish momentum running with higher volume accumulation, while Techs - influenced by Semiconductors - edge lower.
The S&P maintained bullish technicals as it added a few points to yesterday's gain. A push to challenge 2,140 looks well on the cards.
What could hold things back are Tech indices. The Semiconductor Index had a weak day with over a 1% loss. Relative performance continues to fall off sharply.
The Russell 2000 is caught in the middle with its reversal doji at channel resistance. However, it's enjoying strong relative gains. A consolidation from here back to rising channel support would offer bulls a strong footing to mount a challenge on breaking the 200-day MA and for a move to 1,200s.
For tomorrow it will be about which side wins out. Large Caps attracting more buyers in a push to new highs, or Tech taking further losses.
You've now read my opinion, next read Douglas' and Jani's.
I trade a small account on eToro, and invest using Ameritrade. If you would like to join me on eToro, register through the banner link and search for "fallond".
If you are new to spread betting, here is a guide on position size based on eToro's system.
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Dr. Declan Fallon is the Senior Market Technician and Community Director for Zignals.com, and Product Development Manager for ActivateClients.com. I also trade on eToro and can be copied for free.
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The S&P maintained bullish technicals as it added a few points to yesterday's gain. A push to challenge 2,140 looks well on the cards.
What could hold things back are Tech indices. The Semiconductor Index had a weak day with over a 1% loss. Relative performance continues to fall off sharply.
Because of weakness in Semiconductors, the Nasdaq and Nasdaq 100 suffered relative distribution, but these indices are caught in a no-mans land.
The Russell 2000 is caught in the middle with its reversal doji at channel resistance. However, it's enjoying strong relative gains. A consolidation from here back to rising channel support would offer bulls a strong footing to mount a challenge on breaking the 200-day MA and for a move to 1,200s.
For tomorrow it will be about which side wins out. Large Caps attracting more buyers in a push to new highs, or Tech taking further losses.
You've now read my opinion, next read Douglas' and Jani's.
I trade a small account on eToro, and invest using Ameritrade. If you would like to join me on eToro, register through the banner link and search for "fallond".
If you are new to spread betting, here is a guide on position size based on eToro's system.
---
Accepting KIVA gift certificates to help support the work on this blog. All certificates gifted are converted into loans for those who need the help more.
Follow Me on Twitter
Dr. Declan Fallon is the Senior Market Technician and Community Director for Zignals.com, and Product Development Manager for ActivateClients.com. I also trade on eToro and can be copied for free.
JOIN ZIGNALS TODAY - IT'S FREE!