Market could not breakout decisively amidst the Greek crisis and now back into range bound territory. Let's understand path of least resistance which will decide near term market direction... BPNYA well below EMA(30) suggesting to be cautious while volatility ($VIX) spiking steadily which is not a good sign for BULLs. Further rise in volatility will drag this market down. Daily NYSE chart shows market failure to break through the resistance area near 11100 and has now dropped below its MA(200) which is often considered a bearish sign. Weekly chart is favoring further downside as RSI is below 50 mark along with MACD moving down. NYUD is well below EMA(21) and EMA(42) suggesting to remain very cautious as we might see some serious damage to market at this juncture. As Greece situation is not yet resolved and earnings season will be starting this week, expect high volatility and wide swings in the market. In absence of Greece deal and good earnings, this market is bound to experience deeper correction but the path will be treacherous.
What does it mean for our Investments?
Market is back into range, remain cautious... Comments are closed.
|
Details
What is NYUD?
What is BPNYA?Archives
January 2020
Categories
All
|