Coolhand's Market Analysis

Well, the market has numerous negatives to focus on at the moment and today's losses were contributed to a number of factors. First there's Ireland and Greece debt problems, second was a concern that China may be close to issuing a rate hike. Third was talk that Austria would withhold bailout funds for Greece. On top of those headlines and fears is the dollar's continued rise (it tacked on another 0.9% today).

Treasuries managed to bounce however, as the 10-year Note gained a full point and the 30-year Bond was up more than two points.

Economic data was an afterthought with everything else that was going on and did not appear to be much of a factor in today's trading. The Producer Price Index saw a rise of 0.4%, which was half of what was expected, while Core prices dropped by 0.6%, which was much lower than the forcasted 0.1% increase.

Industrial production was unchanged as was capacity utilization.

Here's today's charts:



NAMO and NYMO remain on sells.



NAHL and NYHL are also flashing sells.



Same with TRIN and TRINQ.



BPCOMPQ looks to be turning lower now and looks decidedly bearish.

All signals are flashing sells today, which keeps the system on a sell.

I am expecting a bounce and we may get it tomorrow as we are now oversold, but I am not looking for an entry as this market is a bit dangerous now. Today's action would appear to put an exclamation point on the sentinels intermediate term sell signal that was issued just this past Friday. Bulls beware.