Daily Market Commenary: Bulls Push On

Bulls rebuffed an attempt by bears to push the S&P lower. They were able to recover intraday losses to close the index near the day's high. Volume climbed to register an accumulation day. Since technicals turned net positive there have been eight accumulation days to three distribution days. ($SPX) via The Nasdaq also marked an accumulation day. It's gains were helped by the semiconductor index. ($COMPQ) via The semiconductor index was able to do the leg work it couldn't do yesterday, pushing away off its 200-day MA. ($SOX) via With Tuesday's gains there is a reasonable chance the rally will continue tomorrow, squeezing shorts out of their positions. Short positions in the Dow are perhaps most vulnerable. Follow Me on Twitter Build a Trading Strategy Business in Zignals Subscribe to one of 58 trading strategies covering US, UK, Canada, Forex, ETFs, Frankfurt, Australia or Irish Markets Dr. Decla

Daily Market Commentary: Hasn't Cracked

This morning's review had the talk of doom and gloom. In the end, it was honors even - which means doubters will continue to see a glass half empty while bulls can appreciate a glass half full. The one index which definitely swung bulls way was the semiconductor index. It cracked through its 200-day MA, although in the end it was unable to hold the majority of Monday's gain. ($SOX) via Unfortunately, action in the semiconductor index didn't offer too much for the Nasdaq or Nasdaq 100. ($COMPQ) via The Dow continues to hug channel resistance. It's perhaps the best swing trade opportunity off the day's high/low of all the indices. ($INDU) via In summary, not a whole lot one can take from today given the quiet action. Based on my morning article on the Zignals blog I am looking for a modest gain over the coming month, but it's probably a minority view to have based on my readings. Fo

Weekly Review of Stockcharters: Bearish Creep

Markets ended with a little flourish on Friday - is it a harbringer of things to come? Anthony Caldaro of Objectiveelliotwave hasn't changed any of his recent assessments. He is still on a bullish call??? Anthony D Allyn of Elliotwavehound is holding to his Crash outlook. Oct 8th: doji reversal. Crash imminent. All indicators point to a the beginning of wave III of 3. The smart money has already sold and gone short, while market sentiment hits recent highs. The easy money is finally about to be made on the short side, and no amount of manipulation can prevent it. The media campaign... to change investor sentiment has failed miserably. If markets are looking at the start of a fall, by Anthony's reckoning, today should be the beginning. His weekly chart makes for particularly scary viewing, undermining what I spoke of earlier today on the Zignals blog . The S&P hourly looks similarly grim. Richard Lehman of the has markets riding upper bulli

Weekly Market Commentary: Rally Maintained

A solid performance for the week kept the summer bullish momentum rolling. With bulls in control there is no immediate risk of a reversal - although market tops tend to be slow to develop. The S&P traded similar volume the past few weeks, which is a little disappointing given the upside break of the ascending triangle. ($SPX) via The Nasdaq managed a successful backtest of support and is well positioned to advance to 2,535. Nasdaq via The Nasdaq 100 is trading between two reaction highs in 2008; 1,978 support and 2,022 resistance (the move to 2,053 in 2010 was a bull trap). A weekly close above 2,022 brings 2,130 into range. ($NDX) via With respect to Tech breadth the best of the action came in the Percentage of Nasdaq Stocks above the 50-day MA. The breadth indicator cleared the bearish divergence dating back to 2009 - a significant bullish development for the long term. ($NAA50R) via The Nasdaq Sum

Daily Market Commentary: Second Day of Rest

Bulls are afraid to stick their head above the parapet for fear of getting shot, but it would appear there are no bears to shoot them down. Markets traded around yesterday's range which suggests bulls still have control - it's just they don't know it! The Dow sticks to the upper channel as technicals hold. ($INDU) via Small Caps were similarly resistant ($RUT) via The S&P had little to add - other than a 'Sell' in on-balance-volume. ($SPX) via Another day when sellers fail to appear, another day which suggests bulls will take this higher. Follow Me on Twitter Build a Trading Strategy Business in Zignals Subscribe to one of 58 trading strategies covering US, UK, Canada, Forex, ETFs, Frankfurt, Australia or Irish Markets Dr. Declan Fallon, Senior Market Technician for , offers a range of stock trading strategies for global markets, also available through the latest rich internet a

Daily Market Commentary: Day of Rest

Large and Small Caps had a very quiet day, trading in a very narrow range. Tech had more of a struggle, giving up close to 1% on light volume. The semiconductor index is showing trouble at its 200-day MA which is undermining the Nasdaq and Nasdaq 100 advance. With the 20-day MA converging on the 200-day MA bulls will have to act soon if they want to break the trading range (which is still a long way off). ($SOX) via The Dow was able to close a little higher, but it's doing its best not to break out of its channel. ($INDU) via The index to watch is the Russell 2000. It's well positioned to reach its target of 715-720. It has natural support of the former trading range and the 20-day MA to help. ($RUT) via The semiconductor index will likely play a significant role in the future direction of this rally. If it pulls further away from its 200-day MA and below its 20-day MA it will weaken the foundation for further gains

Daily Market Commentary: Japan Drives Markets

Positive news from Japan put pressure on bears, leaving them running for cover as the past two days of weakness was consumed by strong buying. The S&P was the big winner as it powered higher, clearing six days of tight trading. For now - at least - the pending MACD 'sell' is stalled. ($SPX) via The Nasdaq negated a bearish sequence of days; pushing new highs on higher volume accumulation. ($COMPQ) via The biggest winner on the day was Small Caps. Yesterday's losses had threatened the trading range breakout, but the breakout was restored today. Technicals remain strong. ($RUT) via The Dow is back at channel resistance so is looking vulnerable to selling tomorrow. On the plus side, there was a 'Golden Cross' between 50-day and 200-day MAs. ($INDU) via It's back to square one for bears, bulls can probably afford a couple of down days and still maintain control of the market. Loo


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