Stock Market Technical Indicators & Analysis
Dr. Wish This market is becoming stronger. The GMI switched to a Buy on the close of July 1 and the QQQ short term down-trend may end Thursday if the QQQ is up or level. Nine stocks came up on my new high with good fundamentals scan: $FNV, $DFT, $HII, $COR, $UFPI, $ULTA, $NSP, $PATK, $AMZN. Meanwhile, $RTN has also moved to a new high.
Stocks that climb to new highs early in a market turn often prove to be among the new leaders.
The 20 yr treasury bond ETF is going vertical, reflecting falling long term interest rates. Will U.S. rates go negative?
It has been a wild ride with the GMI signals reversing quickly from Sell to Buy. I like to give my signals a few days after a change before I act on them. So I will watch mainly from the sidelines for a while. I am very concerned about the down-trends in many bank stocks. Look at this “naked” chart of the 4,10, and 30 week (red line) averages for GS, a leader in the financial area. The gray solid line is the weekly close, currently leading the other averages lower.
Most of the major banks have emerging down-trends like GS. Here is BAC.
And then there is the ugly AAPL chart.
Once charts top out, one never knows where the bottom will be. At least for now, these charts indicate to me stormy weather ahead for this market and maybe the economy. And then there is strengthening gold, GLD, perhaps reflecting fear and a weakening dollar.
Here is the dollar ETF, UUP. Its 30 week average has topped out.
And the GMI is now 5 (of 6) and signalling Buy!?
