Commentary: Paul Ebeling on Wall Street

Commentary: Paul Ebeling on Wall Street

Commentary: Paul Ebeling on Wall Street


The DJIA looking like it is waiting to see with a Bearish bias. Big names broke lower then bounced Friday but still finished in the Red.

DJIA -57.94 at 17675.16, NAS Comp -44.58 at 4800.34, S&P 500 -6.77 at 2071.22

Wall Street ended a volatile week Friday on a lower note as investors eyed a downturn in the heavily-weighted healthcare (-1.1%) and technology (-0.9%) sectors. As a result, the tech-heavy Nasdaq (-0.9%) finished behind the S&P 500 (-0.3%).

On the week, the 2 indices lost a respective 1.9% and 1.2%.

The Wall Street is going to have to make a decision in here.

As I write this report note that DJIA mini 3:42a Sep 2016 17,754.00 +195.00 17,639.00 17,765.00 17,639.00

Sticking with the Northside plays in the solid sectors and if the market breaks higher there are more of them. We also have more Southside plays because the market is showing those setting up and breaking lower.

At some point the market will show us the direction they are all going, believe the market is in trouble.

DJIA at 17,675.16, -0.33% keeps oscillating in the range of 17400-18000 which is not expected to break in the next couple of sessions before the Brexit poll. but the index may test the interim resistance of 17800 depending on the UK news

For now play the moves that make up the market’s action North of South.

Thursday, 23 June is the Brexit vote and could be some volatility in front of that. Either way, Yes out or No stay in there is likely to be over reactions.

The UK odds makers are 74.6% in, so do not play that action play good patterns in the good sectors as long as they last.

And when the indexes break out of their ranges these big names will give good solid returns quickly, North or South.

Always, base plays off of the patterns, not the Noise broadcast daily by the financial commentators on TV, tune it out.

The Bulls Vs The Bears


Sentiment Indicators

VIX: 19.41; +0.04
VXN: 20.25; +0.42
VXO: 18.63; -1.67

Put/Call Ratio (PCR) CBOE: 1.11; -0.28

Wall Street has seen 4 days running over 1.0 on the close as the Negative sentiment in the options market builds, it may be enough to rebound stocks in here.

The Bulls faded to marks of 3 weeks back and the Bears held more or less steady.

The Bulls are at 45.9 Vs 47.3 last

The Bears are at 23.5 Vs 23.8 last


Support and Resistance


DJIA close: 17,675.16

The 50-Day EMA: 17,691
17,748 a Apr 2015 low
17,715 the Jun 2015 low
17,786 the Mar 2015 low
17,978 the Nov 2015 high
18,181 the Jul 2015 high
18,351 the May 2015 all time high

17,351 the Sept 2014 high.
17,265 a Dec 2015 low
17,245 the Nov 2015 low
The 200-Day SMA: 17,191


S&P 500 close: 2071.22

2079 the Nov 2014 low
2094 the Dec 2014 high
2104 the Dec 2015 high
2111 the Apr 2016 high
2116 the Nov 2015 high
2120 the Feb 2015 high
2130 the Jun 2015 high
2135 the May 2015 all-time high

The 50-Day EMA: 2070
2062 a Jan 2015 high
2046 the Jul 2015 low
2040 the March 2015 low
2023 the Nov 2015 low
2020 the Sept 2015 high
The 200-Day SMA: 2017


NAS Comp close: 4800.34

4811 the Nov 2014 high
4815 the Dec 2014 high
The 200-Day SMA: 4817
4836 the March 2016 high
The 50-Day EMA: 4843

4774 the Jan 2015 high
4751 a Jan 2015 high
4637 the Feb 2015 high
4736 a Jan 2016 lower Gap mark
4620 the Feb 2016 high
4615 a Aug 2015 low

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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