Indices
Dow Transportation closed at 11281.08 with a bearish marubozu candle below its 8 EMA and 21 EMA and on its 50 SMA. Daily trading range was 132.75. Intermediate Cycle is positive and falling slope. Short Term Cycle is negative and falling slope. Market direction – Sell. Fractal Bias – Bearish.
Dow Industrial closed at 26773.94 with a bullish candle above its 8 EMA, 21 EMA and 50 SMA. Daily trading range was 197.12. Intermediate Cycle is positive and rising slope. Short Cycle is positive and rising slope. Market direction – Buy. Fractal Bias – Bullish.
Russell 2000 closed at 1656.042 with a big bearish candle below its 8 EMA, 21 EMA and 50 SMA. Daily trading range was 21.52. Intermediate Cycle is negative and falling. Short Cycle is negative and falling. Market direction: Sell. Fractal Bias – Bearish.
Nasdaq 100 closed at 7628.28 with a low closing spinning top doji candle above its 8 EMA, 21 EMA and 50 SMA. Daily trading range was 75.114. Intermediate Cycle is positive and rising slope. Short Cycle is positive and rising slope. Market direction: Buy. Fractal Bias – Bullish.
S&P 500 closed at 2923.43 with a doji candle above its 8 EMA, 21 EMA and 50 SMA. Daily trading range was 12.05. Intermediate Cycle is positive and falling slope. Short Cycle is positive and falling slope. Market direction: Sell. Fractal Bias – Bullish.
Metals and Commodities
WTI Crude oil futures (CL) closed at $75.04 per barrel with a bearish candle above its 8 EMA, 21 EMA and 50 SMA. Daily trading range was 0.98. Intermediate Cycle is positive and rising slope. Short Cycle is positive and rising slope. Market direction: Buy. Fractal Bias – Bullish. It is Overbought.
Gold futures (GC) closed at 1207.3 with a bullish candle above its 8 EMA and 21 EMA and on its 50 SMA. Daily trading range was 20.1. Intermediate Cycle is negative and rising slope. Short Cycle is negative and rising slope. Market direction: Buy. Fractal Bias – Bearish.
Agriculture (DBA) ETF closed at 17.36 with a bullish marubozu candle above its 8 EMA, 21 EMA and 50 SMA. Daily trading range was 0.318. Intermediate Cycle is negative and rising slope. Short Cycle is positive and rising slope. Market direction: Buy. Fractal Bias – Bullish.
Commodities (DBC) ETF closed at 18.37 with a doji candle above its 8 EMA, 21 EMA and 50 SMA. Daily trading range was 0.12. Intermediate Cycle is positive and rising slope. Short Cycle is positive and rising slope. Market direction: Buy. Fractal Bias – Bullish. It is Overbought.
Bonds
Bond futures (/ZB) closed at 140’08 with a bullish candle below its 8 EMA, 21 EMA and 50 SMA. Daily trading range was 0.875. Intermediate Cycle is negative and rising slope. Short Cycle is negative and rising slope. Market direction: Sell. Fractal Bias – Bearish. It is OverSold.
High Yield bond ETF (HYG) closed at 86.23 with a spinning top doji candle intertwined with its 8 EMA and 21 EMA and above its 50 SMA. Daily trading range was 0.12. Intermediate Cycle is positive and rising slope. Short Cycle is positive and falling slope. Market direction: Buy. Fractal Bias – Bullish.
Currency
The dollar index ($DXY) closed at 95.483 with a bullish candle above its 8 EMA, 21 EMA and 50 SMA. Daily trading range was 0.481. Intermediate Cycle is negative and rising slope. Short Cycle is positive and rising slope. Market direction: Buy. Fractal Bias – Bearish.
EUR/USD closed at 1.1545 with a bearish candle below its 8 EMA, 21 EMA and 50 SMA. Daily trading range was 0.0074. Intermediate Cycle is positive and falling. Short Cycle is negative and falling. Market direction: Sell. Fractal Bias – Bearish.
USD/JPY closed at 113.61 with a bearish candle above its 8 EMA, 21 EMA and 50 SMA. Daily trading range was 0.487. Intermediate Cycle is positive and rising. Short Cycle is positive and rising slope. Market direction: Buy. Fractal Bias – Bullish. It is Overbought.
6S (Swiss Franc) – closed at 1.0235 with a small doji candle below its 8 EMA, 21 EMA and 50 SMA. Daily trading range was 0.0035. Intermediate Cycle is positive and falling. Short Cycle is negative and falling. Market direction: Sell. Fractal Bias – Bearish.
Relative Strength – Sectors On a monthly lookback, the relative strength order of the ETFs that are outperforming the S&P 500 are XLE, XLV, XLU, XLI and XLK.
On a 3-monthly lookback, the relative strength order of the ETFs that are outperforming the S&P 500 are XLV, XLI and XLK respectively.
Market Internals
Market sentiment is Bullish. Market breadth continues to deteriorate and is showing nett losers to gainers. Volume Accumulation/ Distribution is sloping upwards showing nett contribution. Skew is at 137.98. Vix is at 12.05 and Vix futures is at 13.85.
The Week Ahead
The two indices leading the market tends to be the Dow Transportation and Russell 2000. Both are trending downwards and is very likely leading the market down. Dow Industrial touched all-time high even as the Dow Transportation and Russell 2000 were headed south. Skew is normal. Vix and Vix futures have trended downwards showing no fear.
Gold is rebounding which may well signal that the market could be turning. The prognosis is to be cautious in a diverging market.
To YOUR wealth!
Would you like to learn to trade stocks, Options or Futures? Drop us an email at jefftohch@gmail.com or call +6010 4343 948. If you have been an unsuccessful trader and need personal tutorship, we can provide you with personal coaching to take you to be a profitable trader.
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2 October 2018 – A diverging market
Indices
Dow Transportation closed at 11281.08 with a bearish marubozu candle below its 8 EMA and 21 EMA and on its 50 SMA. Daily trading range was 132.75. Intermediate Cycle is positive and falling slope. Short Term Cycle is negative and falling slope. Market direction – Sell. Fractal Bias – Bearish.
Dow Industrial closed at 26773.94 with a bullish candle above its 8 EMA, 21 EMA and 50 SMA. Daily trading range was 197.12. Intermediate Cycle is positive and rising slope. Short Cycle is positive and rising slope. Market direction – Buy. Fractal Bias – Bullish.
Russell 2000 closed at 1656.042 with a big bearish candle below its 8 EMA, 21 EMA and 50 SMA. Daily trading range was 21.52. Intermediate Cycle is negative and falling. Short Cycle is negative and falling. Market direction: Sell. Fractal Bias – Bearish.
Nasdaq 100 closed at 7628.28 with a low closing spinning top doji candle above its 8 EMA, 21 EMA and 50 SMA. Daily trading range was 75.114. Intermediate Cycle is positive and rising slope. Short Cycle is positive and rising slope. Market direction: Buy. Fractal Bias – Bullish.
S&P 500 closed at 2923.43 with a doji candle above its 8 EMA, 21 EMA and 50 SMA. Daily trading range was 12.05. Intermediate Cycle is positive and falling slope. Short Cycle is positive and falling slope. Market direction: Sell. Fractal Bias – Bullish.
Metals and Commodities
WTI Crude oil futures (CL) closed at $75.04 per barrel with a bearish candle above its 8 EMA, 21 EMA and 50 SMA. Daily trading range was 0.98. Intermediate Cycle is positive and rising slope. Short Cycle is positive and rising slope. Market direction: Buy. Fractal Bias – Bullish. It is Overbought.
Gold futures (GC) closed at 1207.3 with a bullish candle above its 8 EMA and 21 EMA and on its 50 SMA. Daily trading range was 20.1. Intermediate Cycle is negative and rising slope. Short Cycle is negative and rising slope. Market direction: Buy. Fractal Bias – Bearish.
Agriculture (DBA) ETF closed at 17.36 with a bullish marubozu candle above its 8 EMA, 21 EMA and 50 SMA. Daily trading range was 0.318. Intermediate Cycle is negative and rising slope. Short Cycle is positive and rising slope. Market direction: Buy. Fractal Bias – Bullish.
Commodities (DBC) ETF closed at 18.37 with a doji candle above its 8 EMA, 21 EMA and 50 SMA. Daily trading range was 0.12. Intermediate Cycle is positive and rising slope. Short Cycle is positive and rising slope. Market direction: Buy. Fractal Bias – Bullish. It is Overbought.
Bonds
Bond futures (/ZB) closed at 140’08 with a bullish candle below its 8 EMA, 21 EMA and 50 SMA. Daily trading range was 0.875. Intermediate Cycle is negative and rising slope. Short Cycle is negative and rising slope. Market direction: Sell. Fractal Bias – Bearish. It is OverSold.
High Yield bond ETF (HYG) closed at 86.23 with a spinning top doji candle intertwined with its 8 EMA and 21 EMA and above its 50 SMA. Daily trading range was 0.12. Intermediate Cycle is positive and rising slope. Short Cycle is positive and falling slope. Market direction: Buy. Fractal Bias – Bullish.
Currency
The dollar index ($DXY) closed at 95.483 with a bullish candle above its 8 EMA, 21 EMA and 50 SMA. Daily trading range was 0.481. Intermediate Cycle is negative and rising slope. Short Cycle is positive and rising slope. Market direction: Buy. Fractal Bias – Bearish.
EUR/USD closed at 1.1545 with a bearish candle below its 8 EMA, 21 EMA and 50 SMA. Daily trading range was 0.0074. Intermediate Cycle is positive and falling. Short Cycle is negative and falling. Market direction: Sell. Fractal Bias – Bearish.
USD/JPY closed at 113.61 with a bearish candle above its 8 EMA, 21 EMA and 50 SMA. Daily trading range was 0.487. Intermediate Cycle is positive and rising. Short Cycle is positive and rising slope. Market direction: Buy. Fractal Bias – Bullish. It is Overbought.
6S (Swiss Franc) – closed at 1.0235 with a small doji candle below its 8 EMA, 21 EMA and 50 SMA. Daily trading range was 0.0035. Intermediate Cycle is positive and falling. Short Cycle is negative and falling. Market direction: Sell. Fractal Bias – Bearish.
Relative Strength – Sectors On a monthly lookback, the relative strength order of the ETFs that are outperforming the S&P 500 are XLE, XLV, XLU, XLI and XLK.
On a 3-monthly lookback, the relative strength order of the ETFs that are outperforming the S&P 500 are XLV, XLI and XLK respectively.
Market Internals
Market sentiment is Bullish. Market breadth continues to deteriorate and is showing nett losers to gainers. Volume Accumulation/ Distribution is sloping upwards showing nett contribution. Skew is at 137.98. Vix is at 12.05 and Vix futures is at 13.85.
The Week Ahead
The two indices leading the market tends to be the Dow Transportation and Russell 2000. Both are trending downwards and is very likely leading the market down. Dow Industrial touched all-time high even as the Dow Transportation and Russell 2000 were headed south. Skew is normal. Vix and Vix futures have trended downwards showing no fear.
Gold is rebounding which may well signal that the market could be turning. The prognosis is to be cautious in a diverging market.
To YOUR wealth!
Would you like to learn to trade stocks, Options or Futures? Drop us an email at jefftohch@gmail.com or call +6010 4343 948. If you have been an unsuccessful trader and need personal tutorship, we can provide you with personal coaching to take you to be a profitable trader.
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