TAGS: How to analyze shares and stocks.
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News in Brief
Bloomberg:
- Gold hits record, Bitcoin climbs amid Fed cut bets.
- Eerie calm in S&P 500 signals historic rally has staying power.
- Bonds up as Powell pushback lasts ‘a few seconds’.
- Chinese stocks stage late recovery after state buying report.
- S&P 500’s historic8.9% rally blindsides skeptics on Wall Street.
MarketWatch:
- Dow near record high because traders are calling bluff on a ‘higher-for-longer’ Fed.
- Dow tops 36,000 as stocks end with gains following remarks by Fed’s Powell, S&P 500 clinches highest close since March 2022.
- Opinion: Bulls control the stock market and are targeting the S&P 500’s all-time high.
- Uber and Jabil to join the S&P 500 index.
yahoo! finance:
- S&P 500 hits new closing high for the year.
- Powell throws cold water on rate-cut talk.
When a rally is as strong as the current one, one must use technical sell signals with caution. It is best to adjust positive trend lines and rather wait for a trend break to abort the rally.
Lesson 1 under education has been updated to include the divergence Power Signal 2 that is available in the latest release of Algomodel Signals Pro. In the latest release text can be added to graphs for easy future reference as shown in our examples.
Global Indexes
S&P 500
The S&P 500 is touching its strong resistance level at 4600 with a bullish candle. A break of this level will see us to the 4800 next resistance level. Notice that we adjusted our positive trend line.
DAX
The DAX is approaching its 16500 top resistance with another gap (exhaustion or continuation gap?). We also adjusted the positive trend line to coincide with its EMA8 line.
HANG SENG
We also adjusted the negative trend lines of the HANG SENG to show the top right corner of an ellipse. If this formation plays out we should be close to a turn.
NYSE & NASDAQ Stocks
Caterpillar Inc
CAT is busy breaking its 50 DMA and long-term negative trend line. Notice where the new Power Signal P2 was given! (After a high wave candle followed by an engulfing bull candle). Its MACD has also turned to light green again.
Adobe Systems Inc
Adobe is taking a breather after touching top resistance 4 times with a P2 Power Signal. Notice that its trend line is broken and its MACD turned red.
JSE Stocks
JSE All Shares
The JSE All Shares is still uncertain against its long-term negative trend line and 200 DMA with a high wave candle and a P2 signal. It is forming a flag, and one should rather wait to see to which side the break will come. The positive trend line is still in play.
Anglo American Plc
Anglo American made a very large engulfing bull candle on its 50 DMA to touch its 200 DMA after forming a J-curve. Notice that the MACD turned to light green again.
Algomodel Strategies, Education & Features
Click on Education or go to the home page to view education posts.
Frontrunner, Gaps, Trend and Cyclic Indicators are explained in these education posts.
All stock graphs are shown with a Trend Candles Template which is a feature available in Algomodel Signals Pro.
