Good morning. US equity futures are striving for another day of significant gains, sp +22pts, we're set to open at 2074... decisively above the 200dma. The bigger trend has turned back toward the equity bulls... there is no doubt about it.
sp'daily5
Summary
A viciously bullish open is due.... above core resistance on a number of indexes.
A powerful net weekly gain is due.
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early movers
Pandora (P) -32% @ $13, a real mess... paying money for old music.
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AMZN +10%
GOOG + 10%
MSFT +10%
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Overnight action
Japan: +2.1% @ 18825
China: 1.3% @ 3412... a weekly close in the 3400s... very bullish
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Have a good Friday
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8.58am, with the USD continuing to climb, +0.4% in the DXY 96.80s... commodities are mixed....
Gold +$10.. , Oil -1.0%, the latter of which now has a very bearish weekly candle.
US equity indexes saw rather important net daily gains, with the sp +33pts (1.7%) @ 2052. The bigger weekly index cycle now has a bullish MACD cross, whilst the giant monthly cycle is flashing an outright bullish green candle, above key resistance of the 10MA. This is no bear market.
sp'monthly3b
sp'weekly7
Summary
With 6 trading days left of October, we're net higher by a rather extreme 132pts (6.9%). The green 'rainbow' candle is highly indicative that the market is not going to see any further significant weakness before year end.
The break above the 10MA (2047) is a further powerful bullish sign.
Equity bulls should be absolutely relieved with recent price action. Even if the market was to cool to the 1950s in Nov/early Dec, it would not do enough to give any credence to a broader bearish outlook.
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re: weekly chart. The third consecutive green candle... with a bullish MACD cross. There is nothing bearish there.
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Update from a renewed bullish Oscar
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Looking ahead
Friday will see PMI manu' data.
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181pts in 18 days
Effectively, we've climbed almost 10% since the marginally higher low of sp'1871. On any basis, this is a powerful move, and the fact we've surpassed the last FOMC high of 2020, should have long quelled any remaining bearish chatter.
No doubt a few of you out there are still looking for renewed significant downside. I only ask... aren't you looking at the price action lately? Aren't you looking at the resistance levels that are systematically being broken back above?
For now, I am on a no-shorts policy... and with any monthly close above the 10MA, I'll hold to that until the end of next spring.
US equities closed significantly higher, sp +33pts @ 2052. The two
leaders - Trans/R2K, settled higher by 1.5% and 0.8% respectively. Near
term outlook is for continued upside into the next FOMC (Oct 28th)...
and if the market likes what the Fed has to say... a straight run to the
sp'2100s.
sp'daily5
Dow
Nasdaq comp'
Summary
Most notable today, the Nasdaq comp' which was the first index to break above the 200dma (intra high 4926).
Broadly.. all other indexes look set to test their respective 200dmas... and break above.
