Commentary: Paul Ebeling on Wall Street

Commentary: Paul Ebeling on Wall Street

$DIA, $SPY, $QQQ, $VXX

There are 10’s of millions of Americans who have not felt the 1st thing relating to an economic recovery. Those people are where they were during the Great Recession.

These Americans have been ignored in favor of statistics that shows millions of jobs have been created, and flies in the face of studies showing there are only a fraction of those claimed jobs actually created.

Notably, the real math tells us that over 90% of those ‘adjusted’ jobs did not happen.

The real facts show the recovery is an illusion, that reforms must be made such that the tax, healthcare, and regulatory reform put in place.

One analyst I read put it this way, “One can only hope so for the sake of the millions of retirees who earn Zero% on their savings, those who lost quality full-time jobs in the  recession and are forced to work at a minimum wage hourly job, and all of  the young people eagerly learning in their chosen field only to find out when they graduate all they get is a huge bill, an image of an H1-b visa holder taking their job at less than 50% the pay, and a couch in Mom & Dad’s basement.

What the economy needs is not necessarily what the market needs in these times where the market is fed by the Fed and the profits of the top handful of companies dominating the indices.

We have seen this before, and it is great for making money as long as it lasts. Though it never lasts and when it breaks there is always a big price to pay.

Savvy players play the market theme and take what it gives.

Now appears as if the FAANG’s are still in favor for more plays and gains.

The FAANG’s are FB, AMZN, AAPL, NFLX & GOOG.

There are definitely still good patterns in good stocks and good money to be made in them, continue to look for and at them to do more for the made money column.

Remember, always take what the market gives.

 

The Bulls Vs The Bears

Sentiment Indicators

VIX: 9.75; -0.14
VXN: 12.91; +0.22
VXO: 9.02; -0.13

Put/Call Ratio (PCR) CBOE: 0.82; -0.18

The Bulls Vs The Bears

Often after the big drop in the Bulls on 23 May, they continue lower only to see stocks break higher. The Bears rose posting a strong move for another week, also just in time to see the market rally to all time highs 2X to close the week

The Bulls are at 50.0 Vs 51.9 last

The Bears are at 19.2 Vs 18.3 last

 

Support and Resistance

DJIA close: 21,206.29

Resistance

None

Support
21,169 the Mar 2017 high
The 50-Day EMA: 20,833
The 50-Day SMA: 20,811
20,553 from the lows of week 15 May
20,547 a lower Gap mark from Apr 2017
20,412 the Mar 2017 low
20,400 a Apr 2017 low.
20,126 the Jan 2017 high
20,101 a Jan 2017 high.
19,999 a Jan 2017 high
19750 a Jan 2017 low
19,732 the Jan 2017 low
The 200-Day SMA: 19,683

 

S&P 500 close: 2439.07

Resistance

2444 the Y 2016 trendline

Support
2406 the May 2017 high
2401 the Mar 2017 high
The 50-Day EMA: 2382
2352 the May 2017 low
2348 the Apr 2017 lower Gap mark
2329 a Mar 2017 low
2322 the Mar 2017 low
2319 the 78% Fibo retrace
2301 a Jan 2017 high
2298 a Jan 2017 high
2280 from Jan 2017
2278 the Dec 2016 high
The 200-Day SMA: 2268

 

NAS Comp close: 6305.80

Resistance

None

Support
6205 the May 2017 high
6170 a May 2017 high
The 50-Day EMA: 6037
5996 a May 2017 low
5937 the Apr 2017 high
5915 the Top of  the Apr 2017 range
5910 the mid-Apr 2017 high
5899 the Y 2016 trendline
5800 from the Feb 2017 lows
5661 the late Jan 2017 upper Gap mark
5601 the Jan 2017 lower Gap mark
The 200-Day SMA: 5588

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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