Commentary: Paul Ebeling on Wall Street

Commentary: Paul Ebeling on Wall Street


Earnings season is finishing up, and the indices performed well through out the season, keeping the October/November move alive.

Options Expiration saw some adjustments, just as a consolidation in NAS Comp and some big names broke higher, but then saw some selling on expiry.

How those issues work that action this week will tell the story.

The Big Q: Was money starting to move out, or was it just an expiration move last Friday?

Overall the patterns look fine, but whenever you have the market marking several of high confidence, bonds rallying when they should be fading, Gold rising, you have to start paying attention to the leadership that came out of consolidations, and looking ready to break North.

If FAANGs and other big names that broke out of bases that formed during the Summer, give up the new moves after a short consolidation, that may not be good for the market.

Of course the big names are capable of driving the market higher on their own, but if they lose their bids and other parts of the market do not improve, the rally is in trouble.

Today, Monday I will watch where the money goes.  That is Key for FAANGs and other stocks that set up
those great bases, broke out, tested, then started back up.

If they lose money that is big news.

To me the big name patterns look good, can still make the moves, but I am from Missouri, they have to Show Me.

So, pay attention and always take what the market gives. It is your money and your responsibility.

The Bulls Vs The Bears

Sentiment Indicators

VIX: 11.43; -0.33
VXN: 13.79; -0.52
VXO: 9.75; +0.27

Put/Call Ratio (PCR) CBOE: 0.80; -0.15

The Bulls Vs The Bears

The Bulls dipped but are still over 60.0 for 6 weeks running.

The Bears rose, indicating the Bears are concerned.

The Bulls are at 63.5 Vs 64.4 last

The Bears are at 15.4 Vs 14.4 last


Support and Resistance

DJIA close: 23,358.24


23,602 the Nov 2017 all-time high

The 20 Day EMA: 23,343
The 50 Day EMA: 23,968
22,420 the Sept 2017 high
22,179 the Aug 2017 high
22,086 an Aug 2017 high
21,681 the Jul 2017 high
21,638 a Jul 2017 high
The 200-Day SMA: 21,603


S&P 500 close: 2578.85


2597 the Nov 2017 all-time high

The 20-Day EMA: 2575
The 50-Day EMA: 2548
2535 the upper channel line from the 9 Mar 2009 uptrend channel
2491 the Aug 2017 high
2480 a Aug 2017 high
2453 the Jun 2017 high
The 200-Day SMA: 2441


NAS Comp close: 6782.79


6796 the Nov 2017 all-time high

The 20-Day EMA: 6715
The 50-Day EMA: 6609
6477 the Sept 2017 high
6463 the Y 2016 trendline
6461 the Jul 2017 high
6450 a Sept 2017 high
6342 the Jun 2017 high
6300 a Jun 2017 high
The 200-Day SMA: 6220

For my US readers, have at terrific Thanksgiving Holiday 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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