US Stock Markets - New ATH Ahead
by Antonis Benis, on Sep 11, 2019 5:10:12 PM
The big news last week: The all important NYSE Advance/Decline line, which measures breadth, made a new high, took out the previous high set back in July; major price averages are still lagging in that area but they almost always follow the lead of the Advance/Decline line, i.e. expect new all time highs in the near future (see chart 1).
Courtesy of Sentimentrader.com
Possible resistance in the coming weeks: Dow Jones: 28110/28267, S&P 500: 3090 (see charts 2,3).
Cycles suggest some caution for right now, showing a correction/consolidation into September 17th, coincident with the September 17-18 FOMC meeting (see chart 4).
Besides, SPX is registering a TD daily sequential 9 sell setup today. There may be a short term correction until next week, which would provide an opportunity to (re)enter the market. Buy the next (very) short term oversold reading.
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Gold did not reach exactly the resistance mentioned in my previous reports; missed it by about 2%. It has reversed and is now heading lower. Expect a multi week decline, possible support at $1420, in mid-October (see chart 5); sell the next short term overbought.
Interestingly enough, both Newmont and Wheaton Precious metals reached almost textbook Gann resistance levels (see charts 6,7).