18,206 Breakdown
18,104 2014 high
17,810 Important last top
17,579 March low and important area
DJ Support: 17,400 July low
17,125 6 months low
17,050 Very strong
Technical Analysis:
S&P supported and bounced up from its important support at SP2,080 and 200 days moving average (200DMA) SP2,077 which is bullish because it means that buyers were attracted at those levels. NASDAQ COMPOSITE did almost the same and it is the strongest index between the three.
DJIA backdrop is the weakest but it bounced up with the other two. It is atop DJ17,400 old five months low that now acts as support. For DJIA is very important to close over DJ17,810.
DJIA is the only one which is running below 200DMA and 50DMA has crossed the 200DMA to the downside which should be bearish barring that DJIA is supported by S&P and NASDAQ COMPOSITE, they are over its 200DMA.
The U.S. stock market behavior this year is toppish but still solid. S&P and NASDAQ COMPOSITE remian with neutral and bullish-leaning.
DJIA consolidation range is DJ17,050-18,351.
Please click over the chart to enlarge it.
Fundamentals:
Market was affected by Grexit, the fall of Shanghai Stock Exchange, Yuan devaluation, weaker Japanese economy, plunge of the oil and gold prices, neutral 2nd.earnings season of 2015, Brazil, all these in the last two months. With all these negative circumstances the stock market has supported in its consolidation range. I find this as positive.
August is not an easy month, senior traders are in holidays and market volume decreases during the summer doldrums.
We are going to face important economic news in the next two weeks and the market reaction is difficult to anticipate due the low volume.
Dear traders and investors, technical analysis still points to the upside and also fundamentals. I am still bullish but this time I am alert because the market direction can shift easily.
Good luck, viel Glueck, buona fortuna, buena suerte, bonne chance!
Ulises
No hay comentarios:
Publicar un comentario