Market is moving in a range for past two months and could not break through the resistance at earlier HIGH nor did it break down. What will be the most probable move in weeks ahead? BPNYA does not provide good clues when market is moving sideways as it is clearly apparent from below chart. Volatility ($VIX) is in zig-zag causing market to move in tandem as well, however volatility is not going extreme and hence we haven't seen a breakdown OR breakout. Range bound action is very visible from below NYSE daily chart. Weekly chart tells us that unless market can overcome the resistance at earlier HIGH, there is NO incentive to get in the market at these levels. Although RSI is at the moment above 50 mark, it is also moving sideways. MACD is also not providing any conclusive clues. NYUD tells us to be cautious, so far it has not managed to make NEW HIGH but has managed to stay above EMA(21). Charts are telling us to be cautious for now as market is range bound. Also earnings season is underway, which shall provide possible direction to this market for coming weeks.
What does it mean for our Investments?
BULLs get benefit of doubt but remain cautious... Comments are closed.
|
Details
What is NYUD?
What is BPNYA?Archives
January 2020
Categories
All
|