Small Gains Continue; S&P Reaches Resistance
Indices continued to post small gains which left the S&P nestled against resistance. I have marked the S&P as a possible short at such resistance as volume was lighter than usual.
While the S&P parked itself at resistance, the Nasdaq started to edge past its 200-day MA, while gains were small, were probably enough to scare shorts into covering or at least hold of on attacking their 200-day MAs. Technicals remain bullish but relative performance is slowly going against it.
The Russell 2000 remains on course to test its 200-day MA as it makes its way to its next logical resistance.
The Nasdaq 100 is still pinned by resistance of its 200-day MA. There has been an acceleration in the weakness relative to Small Caps but I would still view Semiconductors as the dominant influence and expect further gains.
While it's still early, the S&P is coming up against weekly RSI resistance. If this is a bear rally then watch for a reversal soon (probably next week if it comes true).
For tomorrow, 200-day MA resistance is the watchword with indices undergoing tests of this key long term average.
You've now read my opinion, next read Douglas' blog.
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Investments are held in a pension fund on a buy-and-hold strategy.
While the S&P parked itself at resistance, the Nasdaq started to edge past its 200-day MA, while gains were small, were probably enough to scare shorts into covering or at least hold of on attacking their 200-day MAs. Technicals remain bullish but relative performance is slowly going against it.
The Russell 2000 remains on course to test its 200-day MA as it makes its way to its next logical resistance.
The Nasdaq 100 is still pinned by resistance of its 200-day MA. There has been an acceleration in the weakness relative to Small Caps but I would still view Semiconductors as the dominant influence and expect further gains.
While it's still early, the S&P is coming up against weekly RSI resistance. If this is a bear rally then watch for a reversal soon (probably next week if it comes true).
For tomorrow, 200-day MA resistance is the watchword with indices undergoing tests of this key long term average.
You've now read my opinion, next read Douglas' blog.
---
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
Investments are held in a pension fund on a buy-and-hold strategy.
