Saturday, November 11, 2017

Week Ahead 47

I've been away for a few weeks (and could be away in the coming weeks) due to my back problems, so there is a slight disconnect with my previous weekly post.

SP500 is still around the measured move level with a few pinbars that is now might not be the sign of strength.

NQ made a few measured moves particularly helped by Amazon having a 7.5% weight in the index.

DAX like SP500 is almost where it was four weeks ago. Though, it had a significant retracement from the 13500 new high (btw it is 50% of the measured move target). The much weaker than expected German Industrial Production (-1.6% vs. -0.7%expected) might have been the trigger of the selloff. I don't feel that this data has such a particular importance, therefore, I would rather believe it was a technical correction, so I would look for buying opportunities after some sort of consolidation.On the other hand the previously mentioned SP500 perceived weakness and this selloff could make the DAX more vulnerable to any meaningful global stock market correction.

Technology and Industrial are still leading, up slightly more than a measured move.

The key driver was AMZN that gained more than 15% after its earnings report.

Industrials show more signs of weakness a HS like pattern.We might see the retest of the 70 area.
Consumer Staples made a big comeback.

Metals and Mining are also bearish.

Financials might be a good buying opportunity at the support level. 

Utilities is at a strong resistance.
Health Care is at a strong support.

Consumer Discretionary looks to be before a breakout.

Commodities moved up significantly in the last four weeks.

Gold still looks weak.

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