The Trend is Bull

DJ Resistance:  23,485.25  All-time high

DJ Support:      23,368
                           23,174       Gap
                           23,086
                           23,002       Strong & gap
                           22,890
                           22,810       20 Days moving average
                           22,785
                           22,420       Strong breakout
                           22,405       50 Days moving average
                           22,119       Breakout
                           22,000
                           21,912
                           21,682       July peak
                           21,600       Strong
                           21,535       June peak
                           21,305       200 Days moving average
                           21,200
                           21,115       Strong
                           20,800
                           20,590
                           20,400       Strong
                           20,125       January peak
                           19,732
                           19,678       January low

Technical Analysis:
What a month!
Actually the October breakout at the beginning of the month is unstoppable. We have to realize that the period between November and April is the best for the stock market.
20 days moving average is accompanying as first support the October great acceleration after the breakout.
DJIA has gaps to be filled especially at DJ23,002 where should be a strong support. This action will bring solidity to the up move on DJIA. The consolidation range is DJ23,000 to 23,485.25 with a very strong support at the breakout DJ22,420.
The last up move of the three indexes is over extended in the near term and needs to consolidate filling the gaps and touching the supports. This consolidation will strengthen the bull trend for the seasonal coming period which is statistically the best part of the year for the stock market as I explained previously.
In the mid and long term the trend is bullish-leaning barring a violation at DJ22,420.

Please click over the chart to enlarge it.

Fundamentals:
This upside of the last days comes from the budget in the U.S. Congress, it is almost sure that it will be approved by the Senate and the House of Represents, and through this activity the tax cut will be approved too with less votes than the normally requirement. This should be ready just before Thanksgiving.
Economic news continue to be positive, constructive and give strenghto the markets like the increases of September Existing Home Sales to 5.390 million from 5.350 million units. Redbook report showed +3.5% on retail sales on a year to year basis, PMI Composite Flash at 55.7 versus last month 54.6. The corporate earnings season is open and statistically during this period the stock market goes higher. The combination of both should send the market to the up side.
We still have to pay attention to geopoliticals, ISIS or DAESCH is losing territorry and power but they can continue with terrorist attacks as the threat to the footballer Leonel Messi, North Korea continues with threats.

Dear traders and investors, we should face a consolidation in the market before Thanksgiving that will bring health for the bull movement. I am still bullish and I suggest to buy on the dips.

Good luck, viel Glueck, buona fortuna, buena suerte, bonne chance!
Ulises

Dow Jones 23,002.20 Wow

DJ Resistance:  23,002.20  All-time high

DJ Support:      22,890
                           22,785
                           22,625      20 Days moving average
                           22,420      Strong breakout
                           22,220
                           22,210       50 Days moving average
                           22,119       Breakout
                           22,000
                           21,912
                           21,682       July peak
                           21,600       Strong
                           21,535       June peak
                           21,210       200 Days moving average
                           21,200
                           21,115       Strong
                           20,800
                           20,590
                           20,400       Strong
                           20,125       January peak
                           19,732
                           19,678       January low

Technical Analysis: 
DJIA has visited DJ23,000 and has gotten a new all-time high like the other two indexes. The bull trend is firmly and confirmed by the October breakout.
DJIA and S&P have formed a bullish ascending triangle in the last days, please watch the chart. Practically both indexes have done a new all-time high every day in the last week.
Minor supports before the strong at the breakout DJ22,420. The breakouts will work as important supports. The 50 days moving average at DJ 22,210 will be a strong support.
DJIA and S&P are walking in uncharted territory without resistance, the trend in the midterm is leaning-bullish barring supports violation.

Please click over the chart to enlarge it.

Fundamentals:

This begin of the week is so positive for the stock market, let's say nice. Economic news is supporting the new all-time highs consecutive during the last days. The earnings season is just in front of us and it is promising good corporate results. In addition President Trump and the leader of the republican majority have announced their compromise to the tax cut and it should be done in December before the year's end. All of this is fuel for the stock market which has discounted an interest hike for this coming December.

Last economic data:

- Empire State Manufacturing Survey to 30.2 from 24.4

- Redbook Report reported sales increased +3.6% on year to year basis, last month it was +3.2%

- Housing Market index jumped to 68 from previous month at 64

- September Industrial Production + 0.3% from August -0.7%

Dear traders and investors, economic continues supporting the stock market growth and I expect positive corporate earnings in the third quarter. The tax cut will stimulate the consumption which is excelent for the corporate activities and subsequently for the economy. Stay long, the trend is to the upside.

Good luck, viel Glueck, buona fortuna, buena suerte, bonne chance!
Ulises

                       

New All-time High

DJ Resistance:  22,850.51  All-time High

DJ Support:      22,685
                           22,450       20 Days moving average
                           22,420       Breakout
                           22,220
                           22,119       Breakout
                           22,100       50 Days moving average
                           22,000
                           21,912
                           21,682       July peak
                           21,600       Strong
                           21,535       June peak
                           21,200
                           21,115       Strong
                           21,080       200 Days moving average
                           20,800
                           20,590
                           20,400       Strong
                           20,125       January peak
                           19,732
                           19,678       January low

Technical Analysis:
The indexes are in new all-time highs and in unknown territories. S&P and DJIA have gotten our targets for before the year's end, they got it earlier than we had expected.
Consolidation range is DJ22,119 - 22,850.51
The breakouts in the way up should work as strong supports.
The trend for the short and midterm is bullish-leaning barring a violation of the supports.

Please click over the chart to enlarge it.

Fundamentals:
DJIA closed 69 points higher this Tuesday. This week we will have important economic news that should affect the markets like retail's Redbook report, Mortgage applications, FOMC minutes, Jobless claims, Producer Price Index, Retail Sales figures, Business inventories and Consumer Sentiment. We will have a lot of work on the weekend analyzing the new data.
The markets are flying in uncharted territories and showing strong conviction about the economy and corporate activity. The market resilience is present almost every day.
Next week earnings season begins and I expect firm results according to the recent information of the development of the economy. That means more gains to materialize in the stock market. Normally earnings season affects the market driving it up.
The upcoming tax reform is underpinning the market.
Political possible problems in the U.S.A have to be paid attention like the budget in December, healthcare, and international field with North Korea, certification of Iran deal.

Dear traders and investors, the market is in a strong way to the upside. My targets, DJIA 22,750 and S&P 2,550, have been reached before the year's end. I need to assess the coming market behavior during this coming three month.

Good luck, viel Glueck, buona fortuna, buena suerte, bonne chance!
Ulises                       

4th. Quarter Bullish

DJ Resistance:  22,646.32   All-time high
                         
DJ Support:      22,420       Breakout
                           22,220
                           22,119       Old-time close & breakout
                           22,010       50 Days moving average
                           22,000
                           21,912
                           21,682       July peak
                           21,600       Strong
                           21,535      June peak
                           21,200
                           21,115       Strong
                           21,018       200 Days moving average
                           20,800
                           20,590
                           20,400       Strong
                           20,125       January peak
                           19,732
                           19,678       January low

Technical Analysis:
Stock market got new all-time highs. The three indexes are in new territories showing a clear bull trend.
First support are at DJ22,420 and 22,220, and SP2,520 and 2,506. DJIA and S&P have passed first objective DJ22,550 and SP2,500. Next targets are SP2,550 and DJ22,750. The indexes have extended to the fourth Quarter its bull trend. This strong beginning of the Quarter promises the accomplishment of this year's target. We don't know where the limits in the new territory are only where the targets are.
The trend is bullish-leaning in the midterm barring a violation.

Please click over the charts to enlarge them.

Fundamentals:    
We are getting positive news about the economy like PMI Manufacturing Index to 53.1 and ISM Manufacturing Index to 60.8 best reading in more than 10 years. Construction spending has beaten expectations. Vehicle sales impressive 18.1 million units sold from September 2016 to September 2017, expectations were 16.7 million. Redbook retail sales increased 4.1% in year to year basis.
Southeast and Puerto Rico demand after hurricanes spur the demand of goods which is essential for the economic growth. The economy is not only doing well due the hurricanes the U.S. economy is in good shape and the current and the future demand are driving the stocks to higher prices due the better corporate sales and more activity in their different fields of avocation. It should continue the uptrend of the stock market in the time to come.

Dear traders and investors, the economy is growing, consumption is in good shape and promising to be stronger, the interest rates are increasing in a controlled path,  and then the best place to be is in the stock market in these times. We are near to our targets for the end of the year and it seems that the quarter star is strong.

Good luck, viel Glueck, buona fortuna, buena suerte, bonne chance!
Ulises