Commentary: Paul Ebeling on Wall Street

Commentary: Paul Ebeling on Wall Street


The market’s focus this week

FOMC meets on Tuesday and Wednesday to talk a rate hike and more trade issues with China, Canada, and the EU. The heavy pressure is on China now.

Then there is The Trump Administration’s feelings toward social media and WH talk of an executive order to refer FB and TWTR to the anti-Trust department of the DOJ.

But, more importantly are the stock and index patterns.

Again, new highs were marked last week for the DJIA and S&P500 as the smart money moved back in after 2.5 week consolidation, and now NAS Comp, S&P 400 and Russell 200o, growth indices have put in consolidations to support the big caps.

The Big Qs: Does the same rotation pattern continue, do they move up together, or does one side roll over to the benefit of the others?

The Big A: The leadership is trying to show up in support, energy, materials, telecom, and financials.

But, it would help the overall market if the NAS Comp’s big caps started higher; they trade on lots of exchanges, and they look like they can put in a new Northside leg after 3 weeks of testing.

So, we will look for new setups, and see if  they make the breaks North.

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

The Bulls Vs The Bears

Sentiment Indicators

VIX: 11.68; -0.12
VXN: 16.84; +0.64
VXO: 10.89; +0.22

Put/Call Ratio (PCR) CBOE: 0.98; +0.09

The Bulls Vs The Bears: Bulls tapping 60.0, a mark that often leads to decliners. Bears are up a bit elevated and not moving higher in here.

The Bulls are at: 59.0 Vs 57.7 last

The Bears are at: 18.1 Vs 18.3 last


Support and Resistance

HeffX-LTN’s US Major Stock Market Indexes Technical Analysis for the Week Ended 21 September 2018

Date Symbol Price Technical Analysis Support Resistance
21 September 2018 QQQ 183.71 Bullish (0.25) 182.92 186.74
21 September 2018 DIA 267.12 Very Bullish (0.65) 237.92  None
21 September 2018 SPY 291.99 Very Bullish (0.50) 291.55 293.88

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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