Index Watch for September 14, 2009:
Index Charts
S&P 500 Index ($SPX) -- We are nearing the upper trendline in the Wedge on the Daily Chart. It's managed to hold the price down for the past couple of months. A push over suggests a move to the 1080 area. On the Weekly Chart, we are very close to important intermediate term resistance levels. I think a sustained push over in the short term is unlikely to occur. If a pullback does occur in the next day or three, I'll keep this Chart overhead.
Nasdaq 100 Index ($NDX) -- I'm struggling to find much to draw on the Daily Chart. I've included a possible mini Broad Pattern, but it's not going to require much of an effort to negate it. On the Weekly Chart, it easily knifed through an area where I felt it would struggle at. However, it's sometimes common to "temporarily" punch over before reversing.
Russell 2000 Index ($RUT) -- On the Weekly Chart, the key areas of resistance are 620 and 665. I expect it reach either one or both by the middle of October.
Bank Index ($BKX) -- On the Weekly Chart, support is at 43.75 and 41.00 with resistance at 50.
Dow Transport Index ($TRAN) -- The Weekly Chart is showing no signs of weakness. On the Monthly Chart, there will be significant resistance in the 4300 - 4400 area. I suspect this level could be tested sometime in October and certainly by August 2010.
Crude Oil Index ($WTIC) -- We are once again nearing trendline support on the Daily Chart. It weakens after each test. A failure suggests a move to $55.00.
Semiconductor Index ($SOX) -- On the Weekly Chart, we are nearing the first significant cluster of resistance since the October 2008 lows.
U.S. Dollar Index ($USD) -- Everyone one is expecting the greenback to bounce once it reaches the lower trendline in the Bullish Wedge on the Daily Chart . In my opinion, the Weekly Chart offers the better view. I think the Bull Wedge is going to bust and we're going to test trendline support in the Triangle. I also have a Monthly Chart of the Australian Dollar for the currency traders.
Sentiment & Ratio Charts
Bull Market vs Bear Market -- The Weekly Chart confirms the bulls are in control.
NYSE Bullish Percent Index ($BPNYA) -- The Weekly Chart is updated.
NYSE % Stocks Above 200 MA ($NYA200) -- The Weekly Chart is updated.
Gold & Euro Ratio -- The Weekly Chart is updated.
Nasdaq 100 & Bond Fund Ratio -- The Daily Chart is updated.
S&P 500 Index ($SPX) -- We are nearing the upper trendline in the Wedge on the Daily Chart. It's managed to hold the price down for the past couple of months. A push over suggests a move to the 1080 area. On the Weekly Chart, we are very close to important intermediate term resistance levels. I think a sustained push over in the short term is unlikely to occur. If a pullback does occur in the next day or three, I'll keep this Chart overhead.
Nasdaq 100 Index ($NDX) -- I'm struggling to find much to draw on the Daily Chart. I've included a possible mini Broad Pattern, but it's not going to require much of an effort to negate it. On the Weekly Chart, it easily knifed through an area where I felt it would struggle at. However, it's sometimes common to "temporarily" punch over before reversing.
Russell 2000 Index ($RUT) -- On the Weekly Chart, the key areas of resistance are 620 and 665. I expect it reach either one or both by the middle of October.
Bank Index ($BKX) -- On the Weekly Chart, support is at 43.75 and 41.00 with resistance at 50.
Dow Transport Index ($TRAN) -- The Weekly Chart is showing no signs of weakness. On the Monthly Chart, there will be significant resistance in the 4300 - 4400 area. I suspect this level could be tested sometime in October and certainly by August 2010.
Crude Oil Index ($WTIC) -- We are once again nearing trendline support on the Daily Chart. It weakens after each test. A failure suggests a move to $55.00.
Semiconductor Index ($SOX) -- On the Weekly Chart, we are nearing the first significant cluster of resistance since the October 2008 lows.
U.S. Dollar Index ($USD) -- Everyone one is expecting the greenback to bounce once it reaches the lower trendline in the Bullish Wedge on the Daily Chart . In my opinion, the Weekly Chart offers the better view. I think the Bull Wedge is going to bust and we're going to test trendline support in the Triangle. I also have a Monthly Chart of the Australian Dollar for the currency traders.
Sentiment & Ratio Charts
Bull Market vs Bear Market -- The Weekly Chart confirms the bulls are in control.
NYSE Bullish Percent Index ($BPNYA) -- The Weekly Chart is updated.
NYSE % Stocks Above 200 MA ($NYA200) -- The Weekly Chart is updated.
Gold & Euro Ratio -- The Weekly Chart is updated.
Nasdaq 100 & Bond Fund Ratio -- The Daily Chart is updated.
