Thursday, 16 August 2012

Daily Index Cycle update

A largely flat day for the equity market, but there were certainly some differences between some of the indexes/sectors.

IWM, daily

Dow, daily

Sp, daily5

NYSE, daily



A quiet day indeed for the headline indexes (SP/Dow). However, both the Rus'2000 (see IWM chart), and the Transports closed with somewhat significant gains. The Transports put in what was a pretty clear breakout, and is potentially warning of a new up cycle, that might be seen in other indexes sometime in the next few days.

The broad formation on the Sp' Dow, and NYSE Comp' remains that of a very tight 8 day top.

It really won't take much to snap the main indexes lower, probably to the low sp'1350s. Yet, it presently seems almost impossible to get a dow 50pt decline to hold for more than 30 minutes.

All those calling for sp'1200, 1100..or even 1000 by year end, it sure is not looking promising right now.

A little more later, to close the day.