A Trade War Truce Defies the Bad News Narrative for Rate Cuts – Above the 40 (June 28, 2019)

AT40 = 60.0% of stocks are trading above their respective 40-day moving averages (DMAs) AT200 = 52.4% of stocks are trading above their respective 200DMAsVIX = 15.1Short-term Trading Call: neutral Stock Market Commentary Trade War The search for news bad enough to convince the Federal Reserve to cut rates continues. The weekend began with news … Read more

Above the 40 (April 26, 2019) – Stock Market Highs Continue Cradling Bearish Divergence

AT40 = 61.6% of stocks are trading above their respective 40-day moving averages (DMAs)AT200 = 53.9% of stocks are trading above their respective 200DMAsVIX = 12.7Short-term Trading Call: neutral (change from bearish) Stock Market Commentary The week ended with a U.S. GDP report for Q1 2019 that represents well the state of the stock market: … Read more

Above the 40 (April 18, 2019) – Exhausted Buyers and Reluctant Sellers Make A Stock Market Dribble

AT40 = 58.9% of stocks are trading above their respective 40-day moving averages (DMAs)AT200 = 52.5% of stocks are trading above their respective 200DMAsVIX = 12.1Short-term Trading Call: bearish Stock Market Commentary The S&P 500 (SPY) ended the previous week looking ready to lunge for its all-time high. Surprisingly, buyers decided to take a rest, … Read more

Above the 40 (January 16, 2019) – Financials and Small Caps Pushing Market the Last Mile to Overbought

AT40 = 61.9% of stocks are trading above their respective 40-day moving averages (DMAs) (near 5-month high)AT200 = 23.2% of stocks are trading above their respective 200DMAs (1-month high)VIX = 19.0Short-term Trading Call: cautiously bullish Commentary The signs of exhaustion in the major indices have given way to more and more breakouts. Most importantly, AT40 … Read more

Above the 40 (July 13, 2018) – Buyers Quickly Zip Past Latest Bear Signal But Is Enough Gas Left?

AT40 = 58.4% of stocks are trading above their respective 40-day moving averages (DMAs) AT200 = 56.3% of stocks are trading above their respective 200DMAs VIX = 12.2 Short-term Trading Call: neutral Commentary On Tuesday, July 10th, AT40 (T2108), the percentage of stocks trading above their respective 40-day moving averages (DMAs), rose as high as … Read more

Above the 40 (February 9, 2018) – A Stock Market Reset

AT40 = 14.6% of stocks are trading above their respective 40-day moving averages (DMAs) (day 2 oversold) AT200 = 31.4% of stocks are trading above their respective 200DMAs (near 2-year low) VIX = 29.1 (range from 27.7 to 41.1) Short-term Trading Call: bullish Commentary Friday’s classic battle between buyers and sellers delivered a (short-term?) market … Read more

Above the 40 (July 21, 2017) – A Stock Market Soaring High But On the Edge

AT40 = 64.0% of stocks are trading above their respective 40-day moving averages (DMAs) AT200 = 60.4% of stocks are trading above their respective 200DMAs VIX = 9.4 (volatility index) (2nd lowest VIX since at least 1990!) Short-term Trading Call: cautiously bullish Commentary The S&P 500 (SPY) is soaring high since its impressive breakout two … Read more