Where's The Volume?

Where's The Volume?

Byinfo@50park.com

Market Action- Week 3 Of Correction
It is encouraging to see the bulls show up this week and defend the 50 DMA lines for the major averages. Wednesday marked Day 1 of a new rally attempt for the Dow Jones Industrial Average and the benchmark S&P 500 which means the earliest a possible FTD could emerge for those indices is Monday. Meanwhile, the tech-heavy Nasdaq composite and small-cap Russell 2000 indexes marked Day 10 of their respective rally attempts which means the window remains open for either of those two indices to score a proper FTD. Trade accordingly.

EU Debt Woes Send Stocks Lower

EU Debt Woes Send Stocks Lower

Byinfo@50park.com

The Dow Jones Industrial Average and the NYSE composite both sliced below their respective 50 DMA lines on Monday which is not a healthy sign. The 12-week rally ended on Tuesday, November 16, 2010 after the major averages plunged in heavy volume back down towards their respective 50 DMA lines. In recent weeks, we have repeatedly written about how the major averages were experiencing wide-and-loose action after a big move and made it very clear that that was not a healthy sign. At this point, we are looking for a new rally to be confirmed with a new follow-through day before taking any new positions. Caution and patience are key at this point. Trade accordingly.

Korea, China, & EU Debt Woes Send Dow Below 50 DMA Line

Korea, China, & EU Debt Woes Send Dow Below 50 DMA Line

Byinfo@50park.com

Tuesday, November 23, 2010 Stock Market Commentary: Stocks and a handful of commodities fell as the USD rallied after a slew of geopolitical threats sent investors rushing to so called “safe” investments (i.e. USD and Gold). The rally which began on the September 1, 2010 follow-through day ended on Tuesday. November 16, 2010 as stocks…

Stocks Mixed As Dollar Rallies

Stocks Mixed As Dollar Rallies

Byinfo@50park.com

The 12-week rally ended on Tuesday, November 16, 2010 after the major averages plunged in heavy volume back down towards their respective 50 DMA lines. In recent weeks, we have repeatedly written about how the major averages were experiencing wide-and-loose action after a big move and made it very clear that that was not a healthy sign. At this point, we are looking for a new rally to be confirmed with a new follow-through day before taking any new positions. However, we would be remiss not to note that the major averages deserve the bullish benefit of the doubt as long as they remain above their respective 50 DMA lines. Caution and patience are key at this point. Trade accordingly.

Stocks & Commodities Rally As Dollar Falls

Stocks & Commodities Rally As Dollar Falls

Byinfo@50park.com

The 12-week rally ended on Tuesday, November 16, 2010 after the major averages plunged in heavy volume back down towards their respective 50 DMA lines. In recent weeks, we have repeatedly written about how the major averages were experiencing wide-and-loose action after a big move and made it very clear that that was not a healthy sign. At this point, we are looking for a new rally to be confirmed with a new follow-through day before taking any new positions. Caution and patience are key at this point. Trade accordingly.

Stocks Snap a 5-Week Winning Streak

Stocks Snap a 5-Week Winning Streak

Byinfo@50park.com

Friday, November 12, 2010 Stock Market Commentary: Stocks and commodities snapped a 5-week winning streak as the US dollar rallied one week after the Fed’s historic QE II announcement. Volume patterns remain healthy as the major averages have now completed the 11th week of their ongoing rally. On average, market internals remain healthy evidenced by…