SPX Monitoring purposes; Covered short SPX 1/31/17 at 2278.87 =.09% gain; Short on 1/30/17 at 2280.90
Monitoring purposes GOLD: Sold GDX at 24.33 on 2/22/07 = gain 20.15%; Long GDX on 12/28/16 at 20.25.
Long Term Trend monitor purposes: Short SPX on 1/13/16 at 1890.28
Last Wednesday volume appears to have been climatic and put a stop to the rally that started in February. The up gap that was produced last Wednesday has support if tested on lighter volume and the last several days had light volume. If the gap than holds a rally should ensue to test the previous high. The previous high (which is the gap day) had high volume and a test of the previous high on lighter volume will imply resistance. Therefore a short term sell signal could setup of a test of last Wednesday high on lighter volume.
The top window is the daily SPY and window below that is the McClellan Oscillator/VIX ratio. When this ratio gets near -7.5 and lower (current reading is -11.04) the market is usually near a low. The McClellan Oscillator (bottom window) hit a new short term low near -179.59 and getting extended to downside. Next week is option expiration week which normally has a bullish bias and the week before (this week) sets up the technical’s for the rally. A short term bullish setup would be for a < -300 tick close and TRIN close > 1.30. A possible upside target would be last Wednesday higher near 2400 range on SPX. The 2400 SPX target could than setup the next short term sell signal. Ask for free 30 day trial.
The top window is the daily RSI. Sell signals occur when the RSI is above 50 and than falls below 50. The drop below 50 and sell signal on April 24 remains in effect. Also GDX is running into the November, December consolidation highs near 21.50 range and a support area. The bottom window is the Up down Volume percent for GDX and it has made a higher low as GDX made a lower low creating a bullish divergence. Next Window up is the Advance/Decline percent which is also showing a bullish divergence and GDX is at a support area. There is no buy signal here but bullish divergences are present. We will be watching for a bullish setup in the 20.85 to 22.50 range in the coming days. The Timer Digest has us ranked #2 in performance for gold over the last 12 months. Sold GDX at 24.33 on 2/22/17 = gain 20.15%; Long GDX on 12/28/16 at 20.25.