Coolhand's Market Analysis

Originally Posted by coolhand

The bulls notched a win today, but it didn't clear up the fog around this market.




Price on the S&P attempted an upside break through resistance, but got pushed back for a modest gain overall. Price on the DWCPF came very close to testing resistance at its 50 dma. It closed for a decent gain on the day. Momentum and strength are not inspiring on either chart.

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Originally Posted by coolhand

It was another one of those up and down days today that saw a mixed close.




Volume was on the lighter side today. Price backed off the peak a bit more on the S&P. I get the impression that this index may be coiling for a upside break through resistance. The DWCPF bounced, but that does little to change the picture for this index, which remains below the 50 dma, but also above support in the 2020 area.

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Originally Posted by coolhand

Today's action changed little in terms of market character. In particular, small caps got hit early in the trading session and never recovered. The S&P also got hit early, but it bounced back to close near the neutral line.




On the S&P chart, we can see that price failed to push past resistance, but it didn't give up much ground either. Price on the DWCPF gave back all of Friday's gains and bit more.

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Originally Posted by coolhand

Friday saw a wild rally into the close, which capped a positive day overall, but depending on which fund you were exposed to you either had a good week or a not so good week as the C fund posted a solid gain, but the S fund was thrown for a hefty loss.




The good news is that the S&P is rallying hard off a successful test of support of its 50 dma. The S&P is also testing resistance at its all-time high.

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Originally Posted by coolhand

The bears had their way for the morning session, but the bulls got back in the game in the afternoon to close out the day with moderate gains.




It remains a mixed picture with price on the DWCPF still under the 50 dma and above that key average on the S&P. Momentum has yet to turn back up. Volume has been average. Since the market turned today, it may be ready for the upswing. We'll have to see.

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