The Dow and the S&P 500 are continuing their slow uptrend toward the 50 day moving average. The strongest indicator is the NASDAQ, after going through the 50 day moving average yesterday on a small J-hook pattern, it is continuing to show buying strength today. Although the indexes are in the overbought condition, there are no signs of any exuberance to the upside nor any signs of excessive selling pressure. Anticipate more slow upside but have your safety stop’s in place.
January 16th Daily Market Comments
The Dow and the S&P 500 are continuing their slow uptrend toward the 50 day moving average. The strongest indicator is the NASDAQ, after going through the 50 day moving average yesterday on a small J-hook pattern, it is continuing to show buying strength today. Although the indexes are in the overbought condition, there are no signs of any exuberance to the upside nor any signs of excessive selling pressure. Anticipate more slow upside but have your safety stop’s in place.