The YM, ES, NQ & TF are in the process of backtesting the underside of their rising channel, as shown on the Daily charts below.
The TF has already penetrated the channel and leads in strength on this bounce over the past three days. The NQ closed just inside the channel today (Thursday)...one to watch over the next few days to see if it can remain in the channel. A failure to remain in the channel and follow through now on a sustained and convincing bounce will cause me to assume that selling is not yet finished in the short term.
The Daily ratio charts below of the SPX:VIX, RUT:RVX, and NDX:VXN (which compare the Indices to their Volatility Indices) show a bounce to and close just above near-term resistance today. Their Momentum Indicator remains well below zero and, therefore, the Indices remain subject to further bearish influences, particularly if they fall below these resistance-now-turned-support levels.
As with the NQ above, follow through on the buying side from today is now key to any kind of sustained strength in these indices...otherwise, this seems to be the point at which serious selling will likely resume.
The above RUT:RVX chart is confirming the TF's leadership on the recent bounce and is the one to watch for either continued strength or a resumption of weakness. This may be tracked more clearly on the Daily comparison chart below of the Dow 30, S&P 500, Nasdaq 100, and Russell 2000 Indices. At the moment, the Nasdaq is lagging and the Russell is leading. You can find a link to this chart here.
I'll also be keeping a close watch on AAPL, as I discussed in my post of October 23rd. AAPL is still showing relative weakness compared with the Nasdaq 100 Index (NDX), as shown below on the Daily ratio chart of AAPL:NDX. The Momentum Indicator remains well below zero and continues to decline, which suggests that further weakness is in store for AAPL.
Welcome and thank you for visiting!
The charts, graphs and comments in my Trading Blog represent my technical analysis and observations of a variety of world markets...
* Major World Market Indices * Futures Markets * U.S. Sectors and ETFs * Commodities * U.S. Bonds * Forex
* The content in my articles is time-sensitive. Each one shows the date and time (New York ET) that I publish them. By the time you read them, market conditions may be quite different than that which is described in my posts, and upon which my analyses are based at that time.
* My posts are also re-published by several other websites and I have no control as to when their editors do so, or for the accuracy in their editing and reproduction of my content.
* In answer to this often-asked question, please be advised that I do not post articles from other writers on my site.
* From time to time, I will add updated market information and charts to some of my articles, so it's worth checking back here occasionally for the latest analyses.
DISCLAIMER: All the information contained within my posts are my opinions only and none of it may be construed as financial or trading advice...
UPCOMING (MAJOR) U.S. ECONOMIC VENTS...
* Fri. Apr. 19 ~ U.S. Markets Closed for Good Friday holiday
* Wed. Apr. 24 @ 3:30 am ET ~ German Flash Manufacturing PMI (watch for a hold below 50)...N.B. Jan. 24 PMI came in at 49.9, Feb. 21 PMI came in at 47.6 & Mar. 22 came in at 44.7 (contraction mode deepens!)
* Wed. May 1 @ 2:00 pm ET ~ FOMC Announcement + FOMC Forecasts and @ 2:30 pm ET ~ Fed Chair Press Conference
* Fri. May 3 @ 8:30 am ET ~ Employment Data
* Fri. May 10 @ 8:30 am ET ~ MoM & YoY CPI & Core CPI Data
* Wed. May 15 @ 8:30 am ET ~ Core Retail Sales & Retail Sales
* Wed. May 22 @ 2:00 pm ET ~ FOMC Meeting Minutes
* Wed. May 29 @ 2:00 pm ET ~ Beige Book Report
*** Click here for link to Economic Calendars for all upcoming events
NOTABLE POSTS WITH IMPORTANT UPDATES...