MARKET BREADTH
NetAdvIssues: +1,072
NetNewHighs: +8
UpVol: +931,088,607
TECHNICAL ANALYSIS
Primary consolidation * Secondary downtrend * Short term uptrend * Support 11,600-11,700 * Resistance 12,800 * Rounding top on the weekly chart * Potential double bottom on the daily chart
OUTLOOK
The Dow pauses after a 2-day advance. It moves 200 pts lower early in the trading session after news reports that the U.S. Consumer Confidence Index dropped below analysts' expectations and that the S&P's Case Shiller Home Price Index weakened in January. The DJIA recovers within the day and closes way off its lows to end the session down by only 16pts. The primary consolidation and intermediate downtrend continue to weigh down on the technicals. The short term uptrend is likely to correct at or near 12,800 fueled by selling on rallies which i expect to continue. A possible unfolding double bottom would be watched keenly by potential buyers and should be a cause of concern for short sellers.
NetAdvIssues: +1,072
NetNewHighs: +8
UpVol: +931,088,607
TECHNICAL ANALYSIS
Primary consolidation * Secondary downtrend * Short term uptrend * Support 11,600-11,700 * Resistance 12,800 * Rounding top on the weekly chart * Potential double bottom on the daily chart
OUTLOOK
The Dow pauses after a 2-day advance. It moves 200 pts lower early in the trading session after news reports that the U.S. Consumer Confidence Index dropped below analysts' expectations and that the S&P's Case Shiller Home Price Index weakened in January. The DJIA recovers within the day and closes way off its lows to end the session down by only 16pts. The primary consolidation and intermediate downtrend continue to weigh down on the technicals. The short term uptrend is likely to correct at or near 12,800 fueled by selling on rallies which i expect to continue. A possible unfolding double bottom would be watched keenly by potential buyers and should be a cause of concern for short sellers.
No comments:
Post a Comment