24 December 2018 – Chaos in Washington, Market Plunged!
Indices Dow Transportation closed at 8637.15 with a bearish candle below its 8 EMA, 21 EMA, 50 SMA and 200 SMA. Daily trading range was 238. Intermediate Cycle is negative and falling slope. Short Term Cycle is negative and falling slope. Market direction – Sell.
Dow Industrial closed at 21792.20 with a big bearish marubozu candle below its 8 EMA, 21 EMA, 50 SMA and 200 SMA. Daily trading range was 884.7. Intermediate Cycle is negative and falling slope. Short Term Cycle is negative and falling slope. Market direction – Sell.
Russell 2000 closed at 1266.925 with a bearish marubozu candle below its 8 EMA, 21 EMA, 50 SMA and 200 SMA. Daily trading range was 25.161. Intermediate Cycle is negative and falling slope. Short Cycle is negative and falling slope. Market direction: Sell.
Nasdaq 100 closed at 5899.355 with a bearish marubozu candle below its 8 EMA, 21 EMA, 50 SMA and 200 SMA. Daily trading range was 180.06. Intermediate Cycle is negative and falling slope. Short Cycle is negative and falling slope. Market direction: Sell.
S&P 500 closed at 2351.10 with a bearish marubozu candle below its 8 EMA, 21 EMA, 50 SMA and 200 SMA. Daily trading range was 65.52. Intermediate Cycle is negative and falling slope. Short Cycle is negative and falling slope. Market direction: Sell.
Metals and Commodities WTI Crude oil futures (CL) closed at $42.68 per barrel with a bearish marubozu candle below its 8 EMA, 21 EMA, 50 SMA and 200 SMA. Daily trading range was 3.88. Intermediate Cycle is negative and falling slope. Short Cycle is negative and falling slope. Market direction: Sell.
Gold futures (GC) closed at 1272.5 with a big bullish candle above its 8 EMA, 21 EMA, 50 SMA and 200 SMA. Daily trading range was 14.8. Intermediate Cycle is positive and rising slope. Short Cycle is positive and rising slope. Market direction: Buy. It has exited its weekly Squeeze.
Agriculture (DBA) ETF gapped down and closed at 16.95 with a bullish ‘hammer’ candle below its 8 EMA, 21 EMA, 50 SMA and 200 SMA. Daily trading range was 0.28. Intermediate Cycle is negative and falling slope. Short Cycle is negative and falling slope. Market direction: Sell. It is in a weekly Squeeze.
Commodities (DBC) ETF gapped down and closed at 14.39 with a bearish candle below its 8 EMA, 21 EMA, 50 SMA and 200 SMA. Daily trading range was 0.35. Intermediate Cycle is negative and falling slope. Short Cycle is negative and falling slope. Market direction: Sell.
Bonds Bond futures (/ZB) closed at 145’23 with a big bullish marubozu candle above its 8 EMA, 21 EMA, 50 SMA and 200 SMA. Daily trading range was 1.25. Intermediate Cycle is positive and rising slope. Short Cycle is positive and rising slope. Market direction: Buy.
High Yield bond ETF (HYG) closed at 79.63 with a bearish marubozu candle below its 8 EMA, 21 EMA, 50 SMA and 200 SMA. Daily trading range was 0.72. Intermediate Cycle is negative and falling slope. Short Cycle is negative and falling slope. Market direction: Sell.
Currency The dollar index ($DXY) closed at 96.502 with a bearish candle below its 8 EMA, 21 EMA, 50 SMA and 200 SMA. Daily trading range was 0.573. Intermediate Cycle is positive and falling slope. Short Cycle is negative and falling slope. Market direction: Sell. It is in a daily and Weekly Squeeze.
EUR/USD closed at 1.1403 with a bullish candle intertwined with its 8 EMA, 21 EMA, 50 SMA and below its 200 SMA. Daily trading range was 0.008. Intermediate Cycle is positive and rising slope. Short Cycle is positive and rising slope. Market direction: Buy.
USD/JPY closed at 110.43 with a bearish candle below its 8 EMA, 21 EMA, 50 SMA and 200 SMA. Daily trading range was 0.955. Intermediate Cycle is negative and falling slope. Short Cycle is negative and falling slope. Market direction: Sell.
6S (Swiss Franc) – closed at 1.021 with a bullish candle above its 8 EMA, 21 EMA, 50 SMA and 200 SMA. Daily trading range was 0.0091. Intermediate Cycle is positive and rising slope. Short Cycle is positive and rising slope. Market direction: Buy.
Relative Strength – Sectors On a monthly lookback, the relative strength order of the ETFs that are outperforming the S&P 500 are XLU, XLY, XLF, XLE, XLK, XLI and XLP.
On a 3-monthly lookback, the relative strength order of the ETFs that are outperforming the S&P 500 are XLU, XLY, XLF, XLE, XLK, XLI and XLP respectively.
Market Internals Market Sentiment is bearish. Market Breadth is sloping downwards showing more losers than gainers. Volume Acc/Dis is sloping downwards and showing distribution. Skew is at 118.27. Vix is at 36.07 and Vix Futures is at 25.95.
The Week Ahead The market has trended down for many days now and the indices are quite oversold. We should see a rebound when the market open but on the shorter term, the bearishness persist. The US Government shutdown is not expected to re-open till 2019 and it is likely we will see the indices go lower before the end of the year. The prognosis is for bearishness in the 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.
24 December 2018 – Chaos in Washington, Market Plunged!
Indices
Dow Transportation closed at 8637.15 with a bearish candle below its 8 EMA, 21 EMA, 50 SMA and 200 SMA. Daily trading range was 238. Intermediate Cycle is negative and falling slope. Short Term Cycle is negative and falling slope. Market direction – Sell.
Dow Industrial closed at 21792.20 with a big bearish marubozu candle below its 8 EMA, 21 EMA, 50 SMA and 200 SMA. Daily trading range was 884.7. Intermediate Cycle is negative and falling slope. Short Term Cycle is negative and falling slope. Market direction – Sell.
Russell 2000 closed at 1266.925 with a bearish marubozu candle below its 8 EMA, 21 EMA, 50 SMA and 200 SMA. Daily trading range was 25.161. Intermediate Cycle is negative and falling slope. Short Cycle is negative and falling slope. Market direction: Sell.
Nasdaq 100 closed at 5899.355 with a bearish marubozu candle below its 8 EMA, 21 EMA, 50 SMA and 200 SMA. Daily trading range was 180.06. Intermediate Cycle is negative and falling slope. Short Cycle is negative and falling slope. Market direction: Sell.
S&P 500 closed at 2351.10 with a bearish marubozu candle below its 8 EMA, 21 EMA, 50 SMA and 200 SMA. Daily trading range was 65.52. Intermediate Cycle is negative and falling slope. Short Cycle is negative and falling slope. Market direction: Sell.
Metals and Commodities
WTI Crude oil futures (CL) closed at $42.68 per barrel with a bearish marubozu candle below its 8 EMA, 21 EMA, 50 SMA and 200 SMA. Daily trading range was 3.88. Intermediate Cycle is negative and falling slope. Short Cycle is negative and falling slope. Market direction: Sell.
Gold futures (GC) closed at 1272.5 with a big bullish candle above its 8 EMA, 21 EMA, 50 SMA and 200 SMA. Daily trading range was 14.8. Intermediate Cycle is positive and rising slope. Short Cycle is positive and rising slope. Market direction: Buy. It has exited its weekly Squeeze.
Agriculture (DBA) ETF gapped down and closed at 16.95 with a bullish ‘hammer’ candle below its 8 EMA, 21 EMA, 50 SMA and 200 SMA. Daily trading range was 0.28. Intermediate Cycle is negative and falling slope. Short Cycle is negative and falling slope. Market direction: Sell. It is in a weekly Squeeze.
Commodities (DBC) ETF gapped down and closed at 14.39 with a bearish candle below its 8 EMA, 21 EMA, 50 SMA and 200 SMA. Daily trading range was 0.35. Intermediate Cycle is negative and falling slope. Short Cycle is negative and falling slope. Market direction: Sell.
Bonds
Bond futures (/ZB) closed at 145’23 with a big bullish marubozu candle above its 8 EMA, 21 EMA, 50 SMA and 200 SMA. Daily trading range was 1.25. Intermediate Cycle is positive and rising slope. Short Cycle is positive and rising slope. Market direction: Buy.
High Yield bond ETF (HYG) closed at 79.63 with a bearish marubozu candle below its 8 EMA, 21 EMA, 50 SMA and 200 SMA. Daily trading range was 0.72. Intermediate Cycle is negative and falling slope. Short Cycle is negative and falling slope. Market direction: Sell.
Currency
The dollar index ($DXY) closed at 96.502 with a bearish candle below its 8 EMA, 21 EMA, 50 SMA and 200 SMA. Daily trading range was 0.573. Intermediate Cycle is positive and falling slope. Short Cycle is negative and falling slope. Market direction: Sell. It is in a daily and Weekly Squeeze.
EUR/USD closed at 1.1403 with a bullish candle intertwined with its 8 EMA, 21 EMA, 50 SMA and below its 200 SMA. Daily trading range was 0.008. Intermediate Cycle is positive and rising slope. Short Cycle is positive and rising slope. Market direction: Buy.
USD/JPY closed at 110.43 with a bearish candle below its 8 EMA, 21 EMA, 50 SMA and 200 SMA. Daily trading range was 0.955. Intermediate Cycle is negative and falling slope. Short Cycle is negative and falling slope. Market direction: Sell.
6S (Swiss Franc) – closed at 1.021 with a bullish candle above its 8 EMA, 21 EMA, 50 SMA and 200 SMA. Daily trading range was 0.0091. Intermediate Cycle is positive and rising slope. Short Cycle is positive and rising slope. Market direction: Buy.
Relative Strength – Sectors On a monthly lookback, the relative strength order of the ETFs that are outperforming the S&P 500 are XLU, XLY, XLF, XLE, XLK, XLI and XLP.
On a 3-monthly lookback, the relative strength order of the ETFs that are outperforming the S&P 500 are XLU, XLY, XLF, XLE, XLK, XLI and XLP respectively.
Market Internals
Market Sentiment is bearish. Market Breadth is sloping downwards showing more losers than gainers. Volume Acc/Dis is sloping downwards and showing distribution. Skew is at 118.27. Vix is at 36.07 and Vix Futures is at 25.95.
The Week Ahead
The market has trended down for many days now and the indices are quite oversold. We should see a rebound when the market open but on the shorter term, the bearishness persist. The US Government shutdown is not expected to re-open till 2019 and it is likely we will see the indices go lower before the end of the year. The prognosis is for bearishness in the 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.
Share this:
Related