Commentary: Paul Ebeling on Wall Street

Commentary: Paul Ebeling on Wall Street


Friday, US major stock market indexes finished mixed (thought on the positive side) on light pre-Holiday volume halting Wall Street’s 2 day pause.

The Big Q to begin this week is if there is some slack in the move given the short  squeeze in final hour Friday, and if it will reverse the rally?

So far it does not look like it, and that there is strength yet in the move, though there should have been a deeper test to really validate the DJIA’s attack on the 15 May 2015 highs.

If the market falls this week it may not be a bad sign, we have to wait to see.

As I write this report all 3 Jun US stock market futures are in the Green.

Nevertheless, there several very nice patterns to play Northside regardless of any early week moves North or South to begin this shortened week.

Seeing some sectors showing good accumulation and Northside setups, so will play those as long as the market tells us to.

Remember, always take what the market gives, and the name of this Wall Street game is to make money.


The Bulls Vs The Bears

Sentiment Indicators

VIX: 13.12; -0.31
VXN: 14.55; -0.16
VXO: 12.2; -0.5

Put/Call Ratio (PCR) CBOE: 0.9; -0.03

Last week the Bulls dove and the Bears jumped just as the market was starting its move North, thus demonstrating sentiment is a contrarian indicator.

The Bulls are at 35.4 Vs 40.2 last

The Bears are at 24.0 Vs 21.7 last


Support and Resistance

DJIA close: 17,873.22

17,978 the Nov 2015 high
18,181 top of  Jul 2015 range
18,168 the Apr 2016 high
18,288 from Mar 2015
18,351 the May 2015 all-time high

17,786 the Mar low
17,715 the Jun 2015 low
17,748 the mid-Apr 2015 low
The 50-Day EMA: 17,605
17,351 the Sept 2014 high.
17,265  a Dec 2015 low
17,245 the Nov 2015 low
The 200-Day SMA: 17,124


S&P 500 close: 2099.06

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 June 2015 peak
2135 the May 2015 all-time high

2094 the Dec 2014 high
2079 the Nov 2014 high
2062 a Jan 2015  high
The 50-Day EMA: 2054
2046 the July 2015 low
2040 the March 2015 low
2023 the November 2015 low
2020 the September 2015 high
The 200-Day SMA: 2011


NAS Comp close: 4933.50

4960 the Sept 2015 high
4969 the Apri 2016 high
4999 the Oct 2015 upper gap mark
5007 the 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

4920 the Jan 2016 lower gap mark
4916 a Nov 2015 low
4902 the Jul 2015 low
4894 the Sept 2015 high
4825 the Mar 2015 low
4836 the Mar 2016 high
The 50-Day SMA at 4833
4815 the Dec 2014 high
The 200-Day SMA: 4812

Have a terrific week.

Paul Ebeling



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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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