The stock market has been trading sideways in a trading range at lower price levels for three weeks. But I tend to be a pretty optimistic person, which you have to be to live in Buffalo, S.D.
So when I look at a VantagePoint Intermarket Analysis Software (www.TraderTech.com) chart for the Dow Jones Industrial Average, I see early technical clues to suggest that March Dow futures traded on the Chicago Board of Trade will experience a significant upside corrective bounce very soon.
Bulls’ next upside price objective is closing prices above solid resistance at the January high of 942. The next downside price objective for the bears is closing prices below solid support at the January low of 797. That is a pretty wide range, but intermarket analysis provided by VantagePoint is a valuable trading tool for gleaning clues about potential near-term price trend changes or continuation of present trends that can give traders like me a key edge over the trading crowd.
Call now and you will be provided with FREE recent forecasts
that are up to 80% accurate. 800-732-5407
If you would rather have the recent forecasts sent to you, please go here
Here is the first thing I see on the VantagePoint daily bar chart for March Dow futures: A predicted medium-term moving average crossover. That is, the blue predicted 4-day exponential moving average of typical prices two days ahead has just crossed above the black actual 10-day simple moving average of the close, which is a near-term bullish signal.
The next thing I notice when I look at the bottom of the daily chart for March Dow futures is that VantagePoint’s Predicted Neural Index is presently reading 1.00. That also suggests upside price pressure in the near term.
When the predicted simple three-day moving average value of typical prices is greater than today’s actual three-day moving average value, the Predicted Neural Index is 1.00, indicating the market is expected to move higher over the next two days. When the predicted simple three-day moving average value of typical prices is less than today’s actual three-day moving average value, the Predicted Neural Index is 0.00, indicating the market is expected to move lower over the next two days.
The Predicted Neural Index is a proprietary indicator that has about an 80 percent accuracy rate over many markets over time so I look at it as a pretty good forecaster for near-term price movement. Maybe it’s just because the weather has gotten a little warmer lately and has me looking ahead to spring, but I am thinking these VantagePoint clues could indicate a near-term bounce in the market just like the prospects of nicer weather have put a bounce in my step.
