DecisionPoint

DP Scoreboard Update! $OEX, $INDU New PMO SELL Signals

 | 

Just a quick article to alert you that we had some important DP Scoreboard Updates today. The S&P 100 and Dow Industrials both generated Price Momentum Oscillator (PMO) SELL signals. Additionally, the Dow had a Short-Term Trend Model (STTM) and Intermediate-Term Trend Model (ITTM) Neutral signals update. Here are the new Scoreboards:


The Dow Industrials appeared to be on its way to test all-time highs, instead it turned back down before executing fully. A bearish conclusion to a possible bullish pattern is negative. You can see the 5-EMA downside crossover the 20-EMA generating the STTM Neutral Signal on the Scoreboard. Price could find support around 17700. If it doesn't, the next likely stop would be the February low.

There is a similar situation on the S&P 100. The bullish double-bottom aborted. Price has been in a trading range for the last few months. The new PMO SELL signal is a problem, but it also appears there will soon be a STTM Neutral signal in its future as the 5-EMA is about ready to cross below the 20-EMA. It is a Neutral signal because the 20-EMA is above the 50-EMA implying a bullish environment. If the 20-EMA was below the 50-EMA at the time of the negative 5/20-EMA crossover, the STTM signal would be a SELL.


Technical Analysis is a windsock, not a crystal ball.

Happy Charting!
- Erin

 

Erin Swenlin
About the author: is a co-founder of the DecisionPoint.com website along with her father, Carl Swenlin. She launched the DecisionPoint daily blog in 2009 alongside Carl and now serves as a consulting technical analyst and blog contributor at StockCharts.com. Erin is an active Member of the CMT Association. She holds a Master's degree in Information Resource Management from the Air Force Institute of Technology as well as a Bachelor's degree in Mathematics from the University of Southern California. Learn More
Subscribe to DecisionPoint to be notified whenever a new post is added to this blog!
comments powered by Disqus