Daily Market Comments - July 2008
7/31 -Stock Market Comments
Let the market tell you what the market is going to do! The recent past has demonstrated a positive day followed by a negative day, followed by a positive day etc. Today's weaker open fits the description of what has been happening in this sideways moving market. Anticipate the slow upward trend to be extremely slow.
7/30 - Stock Market Comments
Tuesday's reversal in the markets from the previous day now puts the analysis more towards a slow trending channel to the upside. This would allow for bullish trades for the next two or three days until the indexes approach the top of the trend channel. However, any buying should still be done with the idea of closing the trades very quickly if weakness appears. Crude oil prices still remain the foremost stimulus for any short-term rally.
7/28 - Stock Market Comments
The Dow traded indecisively on Friday while the NASDAQ showed a strong Bullish Harami, staying well above the T-line. This morning's trading continues to illustrate weakness in the Dow stocks but strength, albeit fairly passive, in the other indexes. This reveals no significant alteration of investor sentiment during this very slow upward bounce. The relatively sideways movement of the markets may not provide any great trading advantages. Do not try to press too hard to make profits in these market conditions.
7/24 - Stock Market Comments
Wednesday would have been considered typical mid-summer day activity, just slow moving trading. The NASDAQ showed more srength than the Dow after the Belt Hold signal of Tuesday. The uptrend should still be considered in progress.
7/23 - Stock market Comments
The Dow did consolidate on Tuesday after the Advanced Block signal that had formed prior. After it pulled back to the T-line, the Bulls stepped back in. The NASDAQ opened lower but closed strong, forming a Bullish Engulfing signal at the T-line area. The uptrend remains until a sell signal appears.
7/21 - Stock Market Comments
The markets opening positive today was exactly what the NASDAQ needed to illustrate that the T-line was going to act as support. The NASDAQ needed a positive open today. The Dow needs a good strong day today to keep from forming an Advanced Block pattern. An Advanced Block pattern would be a prelude to a pullback to the T-line. Profit-taking in the Dow should be expected in the next day or so.
7/16 - Stock Market Comments
The trend scenario has remained the same for the past few weeks. Until a candlestick buy signal and a close above at the T-line occurs, these markets still have to be considered as being in a downtrend. The oil stocks and the mining stocks continue to act well.
7/2 - Stock Market Comments
The Hammer signal, that formed in the Dow on Tuesday after the Doji of the previous day, was a good indication that there could possibly be a change of investor sentiment. The positive open today is confirming that possibility. We would not be afraid to be buying aggressively today on the basis that this could be starting at least a bounce back up to the T-line. At that point, start watching to see whether the T-line will act as resistance.