Commentary: Paul Ebeling on Wall Street

Commentary: Paul Ebeling on Wall Street

Commentary: Paul Ebeling on Wall Street


This is a Big data week, starting with the ISM Monday, Factory  Orders Wednesday, and the September NFPs, employment report Friday.

The day to day Wall Street volatility continues  with the NYSE indexes struggling in Bearish patterns while SOX,  NAS Comp and RUTX holding.

The US Fed is still trying to prevent any selloff, the latest evidence being Schoolmarm Yellen’s jawboning on the week that the Fed can directly buy equities during a crisis. That is currently not lawful, she needs Congress to give her the Green light for such a socialistic adventure.

There are still some great patterns to the Northside and Southside, in the stock market. Look for entries if and when the volatility chills some, and see a new trend emerging from the wild actions.

We might anticipate a Northside trend if the Fed has its way, but  still prefer seeing a trend established out of this
volatility, or at least a really clear break to the Northside or break the Southside out of the 17,900-18,500 range on the DJIA

Leaders will emerge and others will follow, look at the the chips and industrial machinery closely in here  for a drictional signal.

But for now Wall Street split and very volatile even with their moves.

Again, want to see the trend emerge or stabilize before putting on new positions.

Always take what the market gives, cash is an asset and there will always be a trade.

There is no harm in being Neutral, remember this is October.

The Bulls Vs The Bears



VIX: 13.29; -0.73
VXN: 15.45; -0.78
VXO: 13.3; -1.52

Put/Call Ratio (PCR) CBOE: 1.01; -0.03; Fourteen 1.0+ readings in 5 weeks, 10 of the last 16 sessions over 1.0.
The heavy Wall Street and nvestor Pessimism keeping some Northside pressure on.

The Bulls bounced and Bears faded post-FOMC, the market is struggling to hold that post-FOMC relief.

The Bulls are at 45.2 Vs 44.6 Last

The Bears are at 23.1 Vs 24.3 Last


Support and Resistance


DJIA close: 18,308.15

18,351 the May 2015 high
The 50-Day SMA: 18,398
18,595 the Jul 2016 high
18,669 the Aug 2016 all-time high

18,288 the Mar 2015 high
18,247 the Aug 2016 low
18,168 the Apr 2016 high
18,100 the Dec 2014 high
18,016 the Jun 2016 high
17,978 the Nov 2015 high
The 200-Day SMA: 17,608


S&P 500 close: 2168.27

The 50-Day SMA: 2168.33
2175 the Jun 2016 high
2194 the Aug 2016 all-time high

2135 the May 2015 high
2130 the Jun 2015 high
2126 the Apr 2015 high
2120 the Jun 2016 high
2119 the Feb 2015 high
2116 the Nov 2015 high
2111 the Apr 2016 high
2104 the Dec 2015 high
2094 the Dec 2014 high
2079 the Nov 2014 high
2062 a Jan 2015  high
The 200-Day SMA: 2063


NAS Comp close: 5312.00

5340 the all-time closing high.

5288 the Sept 2016 high
5271 the Aug 2016 high
5232 the 2015 high
The 50-Day EMA at 5196
5162 a Nov 2015 high
5100 a May 2016
5042 the Mar 2015 high
4980 the Jun 2016 high
4969 the Apr 2016 high
4960 the Sept 2015 high
4916 a Nov 2015 low
4902 the Jul 2015 low
4894 the Sept 2015 high
The 200-Day SMA: 4888

Have a terrific week

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Paul Ebeling

Paul A. Ebeling, polymath, excels in diverse fields of knowledge. Pattern Recognition Analyst in Equities, Commodities and Foreign Exchange and author of “The Red Roadmaster’s Technical Report” on the US Major Market Indices™, a highly regarded, weekly financial market letter, he is also a philosopher, issuing insights on a wide range of subjects to a following of over 250,000 cohorts. An international audience of opinion makers, business leaders, and global organizations recognizes Ebeling as an expert.

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