Commentary: Paul Ebeling on Wall Street

Commentary: Paul Ebeling on Wall Street

$DIA, $SPY, $QQQ, $RUTX

Again, lots more US economic data this week.

We will see the Empire PMI Monday and the Philly Fed Thursday. Housing starts, Existing home sales, Leading
indicators also this week.

The the major US major stock market indexes continue to trend higher and in the face of negative commentary from pundits and talking heads, we like that kind of talk.

Last week we heard legacy Wall Street firms, economists, billionaires chirp that another financial crisis will occur in Y 2019 or 2020, a recession in Y 2019, a Bear market coming in the near future.

All as the trending market that continues trending North with leadership gets no respect.

Shayne and I like the negativity given the contrary indications and that the market rallies in the face of adversity that I call climbing the wall of worry, plus the trend is our friend and always take what the market gives.

We are seeing the leadership set up, we see the indexes test support, hold, bounce, that say continue to play the solid
Northside setups.

The Fed

The Fed is speaking Fed talk about the perils of a strong economy, particularly vis-a-vis the rest of the world.

Remember in the Y 2000 the Fed created disaster out of prosperity and some have not gotten over it yet. This Fed is using different language, but talking the same theories. So, caution about Fed speak.

Ferret out and play good setups.

The Big Q: Why?

The Big A: Because for now it is just negative talk and posturing,and if it changes and the market we will change too, for now it has not.

Remember, it is your money and so it is your responsibility, so always take what the market gives.

 

The Bulls Vs The Bears

Sentiment Indicators

VIX: 12.07; -0.30
VXN: 16.12; -0.33
VXO: 10.80; +0.14

Put/Call Ratio (PCR) CBOE: 0.83; -0.01

The Bulls Vs The Bears: After a week to 60 the Bulls faded a bit. With all the negative commentary in the Ozone, even a
routine test of the trend support stressed some investors. Bears were up a bit, but are still at historic lows.

The Bulls are at: 57.7 Vs 60.1 last

The Bears are at: 18.3 Vs 18.1 last

 

Support and Resistance

HeffX-LTN’s US Major Stock Market Indexes Technical Analysis for the Week Ended 14 September 2018

Date Symbol Price Technical Analysis Support Resistance
14 September 2018 QQQ 183.99 Bullish (0.33) 182.91 186.74
14 September 2018 DIA 261.89 Very Bullish (0.50) 261.37 264.56
14 September 2018 SPY 290.88 Bullish (0.42) 288.44 291.48

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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