Commentary: Paul Ebeling on Wall Street

Commentary: Paul Ebeling on Wall Street

Commentary: Paul Ebeling on Wall Street

$DIA, $SPY, $QQQ, $VXX

Friday some Wall Street money was seen leaving the leadership stocks. If that managed money does not hold the line early this week the risk of more downside is heightened.  Be alert.

That is why savvy traders were taking gains and paring back on the upside positions, including new ones. We will see if the  pullback was just exacerbated by the UK voters Brexit poll results and becomes more orderly or not.

Tuesday and Wednesday the US Fed’s FOMC meets, Wednesday afternoon at 2:30p Janet Yellen holds her Quarterly press conference, the Big Q is: what will she day to Wall Street, and the world.

That being the case this is not the best time to be playing the Northside, as Friday’s fall for many leaders was precipitous. Some are fine others are weak, bounce plays perhaps are best played with options in here. Such plays that can make money near term without having to go overboard.

For now wait and watch for the patterns to set up and show us the moves.

Remember, take what Wall Street gives, and there will always be a trade.

 

The Bulls Vs The Bears

 

bulls-and-bears-thestockradio

Sentiment Indicators

VIX: 17.03; +2.39
VXN: 17.64; +1.96
VXO: 15.54; +1.86

Put/Call Ratio (PCR) CBOE: 1.09; +0.15

This is the 1st 1.0+ on the close in over a week, 9 of the last 11 below 1.0. 20 of 31 over 1.0. They are fairly high readings after a solid move higher.

The Bulls rose 2 points last week after the 10 point spike the week before. Friday the market stumbled and it will be instructive to see how fast the
Bears come back in.

The Bulls are at: 47.3 Vs 45.4 last

The Bears are at: 23.8 Vs 23.7 last

 

Support and Residtance

support-resistance-basics

DJIA close: 17,865.34

Resistance
17,978 the Nov 2015 high
18,168 the Apr 2016 high
18,288 from Mar 2015
18,351 the May 2015 all-time high

Support
The 50-Day SMA: 17,788
17,786 the Mar 2015 low
17, 715 the Jun 2015 low
17,748 an Apr 2015 low
The 50-Day EMA: 17,691
17,351 the Sept 2014 high.
17,265 a Dec 2015 low
17,245 the Nov 2015 low
The 200-Day SMA at 17,168

 

S&P 500 close: 2096.67

Resistance
2104 the Dec 2015 high
2111 the Apr 2016 high
2116 the Nov 2015 high
2120 the Feb 2015 high
2126 the Apr 2015 high
2130 the Jun 2015 high
2135 the May 2015 all-time high

Support
2094 the Dec 2014 high
2079 a Nov 2014 high
The 50-Day EMA: 2070
2062 a Jan 2015 high
2046 the Jul 2015 low
2040 the Mar 2015 low
2023 the Nov 2015 low
2020 the Sept 2015 high
The 200-Day SMA at 2015

 

NAS Comp close: 4894.55

Resistance
4902 the Jul 2015 low
4916 a Nov 2015 low
4920 a Jan 2016 low
4960 the Sept 2015 high
4969 the Apr 2016 high
4999 the Oct 2015 upper gap mark
5007 the 31 Dec 2015 upper gap mark
5009 a Mar 2015 high
5042 the Mar 2015 high
5100 a May 2015 high
5176 the Dec 2015 high

Support
4894 the Sept 2015 high
The 50-Day SMA: 4858
4825 a Mar 2015 low
4836 the Mar 2016 high
4815 the Dec 2014 high
The 200-Day SMA: 4815

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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