12 June 2020 -Weekly Review – Indices sold off! Pandemic problems remain.

Indices/Indexes as of close of 12 June 2020

Summary (Weekly Chart)
$DJT – UpTrend. /YM – UpTrend. /RTY – UpTrend. /NQ – UpTrend. /ES – UpTrend.

/CL – UpTrend. /GC – UpTrend and in a preliminary Squeeze. /ZB – DownTrend. HYG – UpTrend.

$DXY – DownTrend and in a Squeeze. EUR/USD – UpTrend and in a Squeeze. USD/JPY – UpTrend and in a nested Squeeze.

Summary (Daily Chart)
$DJT – DownTrend. /YM –DownTrend. /RTY – DownTrend. /NQ – DownTrend. /ES – DownTrend.

/CL –DownTrend. /GC – UpTrend and in a Squeeze. /ZB – UpTrend. HYG – DownTrend.

$DXY – DownTrend and in a weekly Squeeze. EUR/USD – UpTrend. USD/JPY – DownTrend.

Market Internals (Daily Chart)
Market Sentiment – Bearish. Put/Call ratio – 0.88. Market Breadth – sloping downward showing more losers than gainers. Volume Acc/Dis – sloping downward and showing distribution. Vix – 36.09 and Vix Futures – 35.25. Skew – 133.54.

The Nasdaq 100 broke out to new all-time high during the week before pulling back dramatically on Thursday. Oil pulled back slightly but it is still near to US$40. Gold is back just above US$ 1700. As the stock market does a V-shape recovery, the fear is that we have just witness a bear market rally.

The prognosis is a continuing upTrend for the indices.

Relative Strength – Sectors On a 3-monthly lookback, the relative strength order of the S&P ETF 500 sectors are XLY, XLK, SPY, SPX, /ES, XLB, XLV, XLP, XLI, XLU, XLE and XLF.

On a 12-monthly lookback, the relative strength order of the S&P 500 ETFs are XLK, XLY, XLV, XLB, SPY, SPX, /ES, XLP, XLI, XLU, XLF and XLE.