Jobless Claims Beats!
The Dow continued moving sideways today, closing marginally higher by 12 points in yet another largely bearish day ending with huge support late in the session.
Fundamentals
Jobless claims turned in much lower than 450K at last today (see Stock Market Calendar), giving the session a huge bullish start. However, profit taking set in almost immediately, taking the market back down into the red. However, strength returned to the market in the afternoon session, ending the session largely sideways. It seems like we really need a good positive beat on tomorrow's GDP and/or Chicago PMI in order to break out of the current stalemate.
Technicals
Not too surprisingly, the Dow continued to move sideways today as investors once again held their ground at the April highs. However, one sign of concern has now appeared on my short term momentum indicators and that is the rapid loss of short term momentum these two days. Such a loss of moment as such a critical juncture can prove to be dangerous. In fact, if momentum does not pick up, investors might be convinced that the market isn't ready to make a new high and will therefore go into yet another intermediate correction like the one we saw back in August. Once again, its time to be nimble.
For now, the Dow remains in a short term neutral trend, intermediate bull trend within a primary bull trend.
My Market Analysis Sent Straight Into Your Email Daily For Only $5/Month! **My analysis will only be posted here once every other day.
Fundamentals
Jobless claims turned in much lower than 450K at last today (see Stock Market Calendar), giving the session a huge bullish start. However, profit taking set in almost immediately, taking the market back down into the red. However, strength returned to the market in the afternoon session, ending the session largely sideways. It seems like we really need a good positive beat on tomorrow's GDP and/or Chicago PMI in order to break out of the current stalemate.
Technicals
Not too surprisingly, the Dow continued to move sideways today as investors once again held their ground at the April highs. However, one sign of concern has now appeared on my short term momentum indicators and that is the rapid loss of short term momentum these two days. Such a loss of moment as such a critical juncture can prove to be dangerous. In fact, if momentum does not pick up, investors might be convinced that the market isn't ready to make a new high and will therefore go into yet another intermediate correction like the one we saw back in August. Once again, its time to be nimble.
For now, the Dow remains in a short term neutral trend, intermediate bull trend within a primary bull trend.
My Market Analysis Sent Straight Into Your Email Daily For Only $5/Month! **My analysis will only be posted here once every other day.
Chart of Dow Made Using Telechart. Want Your Own Charting Software? Download FREE Now!
posted by Jason Ng at 6:32 PM
0 Comments:
Post a Comment
<< Home