Commentary: Paul Ebeling on Wall Street

Commentary: Paul Ebeling on Wall Street

Commentary: Paul Ebeling on Wall Street

$DIA, $SPY, $QQQ, $RUTX

  • The US markets will be closed Monday in celebration of Labor Day.

Last Friday’s Wall Street action ahead of an extended Labor Day weekend was eventful in terms of trade-related headlines, but an uneventful one for the major US major stock market indexes averages, which finished flat to unchanged

The S&P 500 (Unch) added less than a point, the Nasdaq Composite (+0.3%) advanced modestly, and the DJIA (-0.1%) finished a bit lower.

All eyes were on Washington, where US and Canadian officials were working to get a trade deal done by President Trump’s Friday deadline. The 2 sides weren’t able to reach an agreement, but the White House then said talks will open again this Wednesday. The extension was unexpected, as President Trump has said he would be willing to move on without Canada if a deal was not in place by Friday.

There is lots of data coming out this week starting with the ISM and construction Tuesday, ADP, Productivity revision, factory orders Thursday, and the NFPs (jobs)Report Friday.

Further, the Dog Days of August are over, it is a new frame, and that means money is poised to come into play.

Larry Kudlow said Friday that China had no interest in talking ahead of further tariffs hammerings.

As for the US stock market, the trends are  in place, buyers came in to drive stocks to higher highs, then they returned after a test to drive them higher.

Trade remains a Key issue in here.

The NAS Comp is near its upper trendline and that may stall some of the moves from big names. If that happens, a test then sets the leader stocks for some new entries point.

It is September, and the Fed wants to hike this month, but as long as the FOMC does not overdo it, a hike is not a bad thing.

Watch the patterns of the leadership, take your leads from them and those plays setting up under them and always take what the market gives.

Pay attention as it is your money and your responsibility.

 

 

The Bulls Vs The Bears

Sentiment Indicators

VIX: 12.86; -0.67.
VXN: 16.04; +0.02
VXO: 11.16; -0.52

Put/Call Ratio (PCR) CBOE: 1.03; +0.21

The Bulls Vs The Bears

The Bulls are moving back to 60, the mark associated with pullbacks.

The Bears remain quite low.

The Bulls are at: 59.6 Vs 57.7 last

The Bears are at: 18.3 Vs 18.3 last

Support and Resistance

Overall the major US stock market indexes technical indicators for the week ended  31 August 2018 are Bullish to Very Bullish with little to no overhead resistance and strong support.

Date Symbol Price Technical Analysis Support Resistance
31 August 2018 QQQ 186.65 Bullish (0.42) 154.27  None
31 August 2018 DIA 259.85 Bullish (0.44) 259.56 260.95
31 August 2018 SPY 290.31 Bullish (0.30) 256.75  None

 

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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