market remains unchanged. 65.27 % of S&P 500 stocks are above their 50 Days SMA.
Look at the chart above – QLD is in candle sticks weekly 2 years chart
IGV is software setor ETF and XLV is health care sector – QLD is up 124 % and
IGV – 76 % and XLV 30%
Nothing beats QLD
Decision : I will continue to be long on QLD and NQ
Thursday, September 13th 2018 at 8:20 am Indian Standard tine and around 10:51 pm September 12th in NYC
it is a third day of bottoming for NASDAQ.
NASDAQ lost almost 1.1 % yesterday at one point of time then recovered well with a loss of little more than 0.2 % in slightly higher volume – green flag.
A/D line for NYSE has actually improved – 1554 stocks up in 1.95 billion volume and 1226 stocks down in 1.19 billion volume. Good up volume almost double then down volume and majority of stocks up. Green flag
3rd day S&P 500 going up and that too in higher volume.
S&P 500 stocks percentage above their 50 day SMA has improved to 65.14
and FFTY actually went up
decision – I am staying in the market and NQ
Tuesday September 11th 2018 around 11:30 am IST around 2:00 am, Sept 12 New York
S&P 500 increased for the first tie in 6 days. the advance decline line A/D line had the first positive reversal – stocks up in higher volume for the first time in 6 days. – 1719 Stocks up in 1.46 Billion volume compared to 1061 stocks down in 1.17 billion.
Number of S&P 500 stocks above their 50 days moving average increased to 65.89 percent. – which is a good positive developer
QLD Volume substandard with 990 K
Over all the market is still in uptread
Decision – I am continuing to participate in QLD
NQ – yesterday it was up and down – i stayed out
- Present price action has been down. There has been a cluster of high volume selling, august 30th, Tuesday and Wednesday. red flag.
- both S&P 500 and NASDAQ above 22 SMA. green flag
- Accumulation and distribution rating has fallen since August 29th top from C- and B for S&P 500 and NASDAQ respectively to D and C-. Red flag.
- A/D line for NYSE – 1649 Stocks down in 1.95 billion volume and 1138 stocks up in 1.07 billion. volume actually declined but stocks down on double the volume. Red flag.
- % of S&P stocks above 50 days SMA is 67.42 and it stabilized last 3 days with a bounce of 64.43. – Green flag.
decision : Be in QLD avoid long on NQ
Yesterday made 22 points on NQ because of price action.
Market analysis weekend of May 12 2018
The way employed here is always reactive not predictive. We do not forecast we just react to the market. For 6 weeks it indicated to us to be out in the sidelines. We look at the major indexes at the end of the day for 10-25 mins and based on price and volume we see if we enter or exit.
Price is the only true North Star. Volume indicates the commitment by 100s of institutional buyers with total of billions of dollars to buy.
#1 and only priority is preserving our capital at all costs check our method how and why
Market is in rally and things are looking good but I will explain why we should still wait 1 more week or less
53.4% of stocks in S&P 500 are above their 100 day SMA (say there are 100 stocks in entire market 53 stocks are above their price averaged over their last 100 days) 1st chart
This week delta market sentiment turned bullish after 6 weeks of bearishness
The Nasdaq closed above its 50-day moving average for a sixth session in a row. The S&P 500 did the same for a third session in a row.
The Nasdaq needs only a 1.3% advance to bump up against the 7500 price level. But the S&P 500 needs a 2.7% gain to test the 2800 level.
Dow 25000 is quite nearby
Accumulation distribution (A rating is top and E ratings is bottom ) for S&P is still D
NYSE advance decline line has made a new high. Above chart 2 . But you see, only on May 9th on above average volume with solid volume increase did S&P clear the 50 day Simple moving average (SMA )
It’s good to be cautious and not jump in.. we need to let it play. All the indexes are close to the Previous all time high potential resistances. Things just began to look up and this coming week will let us know
Happy weekend from Seoul, South Korea
As observed on April 13th, 2660 is a critical test for S&P. It passed with flying colors on Monday and Tuesday April 16th and 17th. In fact April 17th was a solid gap up (when the market opens well above the previous days price )
Look at the volume of the entire stock market at the bottom of thr above picture. This is the most beautiful pertinent information. Why? This is the sum Total of all actions of the entire 100s of money managers and pension funds and hedge funds. When the market is falling the volume is going up – red lines and when price is rising the volume in blue is not that great.. this last week it went up 80 points and gave back 80 points. So the volatility is still high and it’s up and down
About 47-50 % of S&P stocks are below their 100 day SMA (say there are 100 stocks in entire market 50 stocks are below their price averaged over their last 100 days) – 2nd picture
On Friday the market S&P and NASDAQ price sliced below their 50 day SMA
S&P 500 is back to testing the 2660. It is just a few points above it.
7300 is now shaping up to be solid resistance for NASDAQ
FFTY the 50 top growth stocks – last picture is back down its 10 days SMA (growth stocks are first bought by institutions when the market is healthy).. if growth stocks are not braking out in high volume..the market is not healthy
In the side lines for now. Let it play through.
Ps: a blog on my travels
DMZ zone North Korea
howdy folks from Beijing !
On March 20th we had observed in one of the posts that “S&P 500 solidly gave up the 50 Day MA under a clear gap down . Very close to 2700 support The 2800 was a solid resistance. Time to get in sidelines ”
This week Tuesday’s powerful move was masked amid the higher volatility. The Nasdaq and S&P 500 printed price bars that were actually smaller than several others in the past many days.
The March 27 high was easily today in nasdaq
But the S&P 500 is at a critical March 27 and April 5 highs.
Both are below the 50 day SMA ..
2660 is a critical test for S&P (1st chart below ) the advance decline line for S&P is flattening .. volume for S&P has steadily backed off
7050 is critical support for nasdaq
Sidelines for now.. let it play out further