Greetings again, Everyone at The NYSE Close!
Sectors, The Indices, and overall Market “Sentiment” are all in positive Territory primarily on the back of continued Positive Earnings across many Sectors.
While we arrive at a 7-Day Positive Rally… I will bring up a Term all of you have heard me mention several times in the past few months.
“Bear Market Rally”.
Are we really seeing a semblance of overall Health here?… or are we simply seeing some Over-Extension and Over-Bought Conditions?
I would lean towards the Latter in my personal View.
We certainly can see the S&P approaching the 960 Area, but in the “Case of The Correction”, as I like to say… the Extended Price Action truly may see a Immediate-Term Top there prime for a Reversal… hence a nice Daily Double-Top will then be in Formation.
This will obviously translate over to The Dow as well… despite the “Positive Earnings’ Sentiment.
Here is a quick View of The Daily S&P 500 to check on these Levels once again.
Post-Time is 20:50 GMT.
In looking at my “Real-Time” Currency Correlations, we can see some Disparity today with the poor Queen being the significant Driver of Depreciation… in Her Major and in The Crosses.
While as of this exact moment, Price is beginning to stage Bullish Build from the previous “Re-Test” of the 1.6380’s Transitive Rollover Support… Price is still off about 90 Pips, and about 160 with the GBP/JPY Cross.
In contrast, EUR/GBP is holding on to its 40+ Pip Gain for the Day.
Here is the Hourly View of The Queen, so give it a Click for various Levels.
Price needs to Clip and regain the 1.6500 Handle here for the development of a “new” Transitive Rollover Area, and our IntraDay Trendline here will provide some Dynamic Support moving forward.
If we see Failure, and Price breaches the actual Lower Channel Daily Trendline here as well… then the 1.6200 Handle and beyond is certainly In View.
Now we move onto the Asian Sectors soon, where the Positive Sentiment will usually be picked up by the Nikkei and The Aussie Exchanges for our initial Indication of Continuation.
Please join me soon for tomorrow’s “Big Blog” Post as we also check in with how The Asian Sectors are progressing!
I hope to see you then!
