Charts

Market Summary: My effort each day with this report is to stick to price action and momentum signals in a defined and simple way.  My Momentum/Trend (MOTR) model is rule based and the basis of my market and sector view.  That said, the past few reports have become a bit longer than expected delving into […]

Market Summary: Friday’s note focused on a few main points which explained why I continue to see market risk at current levels as skewed to the downside. First, my MOTR model, which measures the internal strength of the SPX index based on momentum and trend, is continuing to show negative divergence.  The model has not

Market Summary: As I wrote in yesterday’s note, “over the past two weeks I have been cautious and have stated quite often that I see risk increasingly skewed to the downside”.  Admittedly, this has been in the face of a relentless SPX index rally.  The MOTR model remains neutral but has slid closer to an

Market Summary: There is no question, over the past two weeks I have been cautious and have stated quite often that I see risk increasingly skewed to the downside.  My momentum/trend model (MOTR) overall has shown significant negative divergence.  What’s also concerning is that the SPX continues to grind higher with historically low breadth and

Market Summary: The SPX index hit another all-time high at 5590.75 midway through yesterday’s session.  For the balance of the day sellers were pressing gently, closing the index near the session low at 5576.90.  A few items to note.  First, the Evening Doji Star which I pointed out in yesterday’s note was not confirmed with

Market Summary: The SPX index has now achieved a trough-to-peak move of over 7.50% since testing the 50dma (ref 5181) on May 31 with a 5191 low.  In just over a month, with limited breadth and almost no retracement, the index has put in an average full year’s gain while hitting over 30 new all-time

Market Summary: The June 28 report highlighted my expectation that the SPX index would “test support at 5400 in the near term with the additional downside risk of filling the 5375-5400 gap and potentially testing 5300”.  The bullish gap up on June 12 had seemed to run its course and as my momentum and trend

Market Summary: The SPX index continues to hold the 10dma (ref 5464) as the trading range has tightened from 5400/5500 to 5450/5500.  Although intraday price action is indecisive, the index has achieved higher highs and higher lows over the past three sessions as it grinds back towards the all-time high of 5505.  Aside from general

Market Summary: Away from looking at the SPX for a moment, there was some very interesting action in the E-mini S&P 500 front month futures (ES1 Index) heading into the close of the cash session yesterday and in the overnight session.  First, in the final minutes of the cash session there was a 17-handle rally

Market Summary: The SPX index continues to work within the current “island” with a support/resistance range of 5400/5500.  A mid-session dip tested my previously identified support level at the 10dma (ref 5447) and the previous session’s low (ref 5447) as the index hit and held a low of 5446.  The index recovered for a late