Dow Jones Industrial Average (.DJI) still an inflating parabolic bubble

Dow Jones Industrial Average (.DJI) still an inflating parabolic bubble

Dow Jones Industrial Average (.DJI) still an inflating parabolic bubble

The Dow Jones Industrial Average and S&P 500 Index continue to have positive but overbought weekly charts with the Dow still an “inflating parabolic bubble.” Weekly closes below 26,085 and 2,880.45, respectively, results in weekly chart downgrades.

The Dow Jones Industrial Average(26,447.05 on October 5) set its new all-time intraday high of 26,951.81 on October 3. My annual, semiannual and monthly value levels are 24,666, 24,323 and 24,135, respectively, with weekly and quarterly risky levels of 27,041 and 28,401, respectively. To be up by 20% from its 2018, low the Dow would have to trade above 28,013.

Overall, the bias in prices is: Upwards.

The projected upper bound is: 26,831.68.

The projected lower bound is: 26,074.41.

The projected closing price is: 26,453.04.

Candlesticks

A black body occurred (because prices closed lower than they opened).
During the past 10 bars, there have been 5 white candles and 5 black candles. During the past 50 bars, there have been 28 white candles and 22 black candles for a net of 6 white candles.

Momentum Indicators

Momentum is a general term used to describe the speed at which prices move over a given time period. Generally, changes in momentum tend to lead to changes in prices. This expert shows the current values of four popular momentum indicators.

Stochastic Oscillator

One method of interpreting the Stochastic Oscillator is looking for overbought areas (above 80) and oversold areas (below 20). The Stochastic Oscillator is 29.2492. This is not an overbought or oversold reading. The last signal was a sell 3 period(s) ago.

Relative Strength Index (RSI)

The RSI shows overbought (above 70) and oversold (below 30) areas. The current value of the RSI is 53.81. This is not a topping or bottoming area. A buy or sell signal is generated when the RSI moves out of an overbought/oversold area. The last signal was a sell 3 period(s) ago.

Commodity Channel Index (CCI)

The CCI shows overbought (above 100) and oversold (below -100) areas. The current value of the CCI is -82. This is not a topping or bottoming area. The last signal was a sell 3 period(s) ago.

MACD

The Moving Average Convergence/Divergence indicator (MACD) gives signals when it crosses its 9 period signal line. The last signal was a sell 2 period(s) ago.

Rex Takasugi – TD Profile

DJ INDU AVERAGE closed down -56.209 at 26,430.570. Volume was 1% above average (neutral) and Bollinger Bands were 17% narrower than normal.

Open High Low Close Volume___
26,469.18926,539.93926,324.16026,430.570 282,561,120

Technical Outlook
Short Term: Neutral
Intermediate Term: Bullish
Long Term: Bullish

Moving Averages: 10-period 50-period 200-period
Close: 26,552.89 25,991.42 25,134.33
Volatility: 9 9 18
Volume: 264,202,496 262,712,912 347,751,904

Short-term traders should pay closer attention to buy/sell arrows while intermediate/long-term traders should place greater emphasis on the Bullish or Bearish trend reflected in the lower ribbon.

Summary

DJ INDU AVERAGE is currently 5.2% above its 200-period moving average and is in an upward trend. Volatility is Our volume indicators reflect volume flowing into and out of .DJI at a relatively equal pace (neutral). Our trend forecasting oscillators are currently bullish on .DJI and have had this outlook for the last 61 periods. our momentum oscillator has set a new 14-period low while the security price has not. This is a bearish divergence.

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