Connect with us

Hi, what are you looking for?

Stocks

DEFENSE TRIES TO HELP EQUITIES MOVE OFF LOWS

Good morning and welcome to this week’s Flight Path. The equity “NoGo” trend struggled this week as prices climbed from lows. We see an amber “Go Fish” bar as the market tries to understand the trend. GoNoGo Trend paints pink “NoGo” bars for treasury bond prices and commodity prices enter a period of uncertainty with consecutive amber “Go Fish” bars. The dollar, currently, is the only asset that is in a “Go” trend as we see the indicator painting weaker aqua bars. Lots of uncertainty this week!

Markets Uncertain of Equity Trend

The “NoGo” trend gave way to an amber “Go Fish” bar at the end of the trading week. We know, that when the amber bar is painted it is because there are not enough criteria being met behind the scenes for the GoNoGo Trend indicator to identify a trend in either direction, Go or NoGo. Adding to the feeling of uncertainty is the candle itself. A doji candle is when the open and close price are the same or very close, and this is what we saw on Friday. There was no clear winner between the bulls and the bears. No surprise then, when we look at the oscillator panel we see the GoNoGo Oscillator riding the zero line and a Max GoNoGo Squeeze in effect. This is a visual representation of the tug of war between buyers and sellers at this level. We will watch closely to see in which direction the Squeeze is broken, as this will help us determine price direction.

The larger weekly chart shows that we are at an inflection point here as well. We have seen a 4th consecutive weak aqua “Go” bar as price seems to have set a new higher low. GoNoGo Oscillator has crashed over the last month to test the zero line from above where we will watch to see if it finds support. If it does, we will see signs of trend continuation on the price chart. A break below the zero line would signal a more drawn out correction.

Rates Fall After Consolidation

This entire week saw GoNoGo Trend paint weaker aqua “Go” bars as price fell from its most recent high. We turn our eye to the oscillator panel and see that GoNoGo Oscillator has failed to find support at that level. As it dips its nose into negative territory we can say that momentum is out of step with the “Go” trend and we will watch to see if it sinks further into negative territory. If it does, then we may see trend change above. A rally back to the zero line would likely allow the “Go” trend to continue in the short term.

    You May Also Like

    Politics

    When George Santos mentioned his family during his congressional campaign, the New York Republican often reflected on the work ethic and strength of his...

    Business

    Two of Sam Bankman-Fried’s top business partners — a co-founder of the cryptocurrency exchange FTX and the former CEO of the hedge fund Alameda...

    Sports

    Kicker Alejandro Mata is following former Tigers coach Deion Sanders to Colorado. ‘Thankful to be committed and signed to the University of Colorado,’ Marta wrote on...

    Stocks

    SPX Monitoring Purposes: Sold long SPX 1/27/23 at 4070.56 = Gain 6.51%; Long on 12/20/22 at 3821.62. The top window is the cumulative GDX...

    Disclaimer: SecretCharts.com, its managers, its employees, and assigns (collectively “The Company”) do not make any guarantee or warranty about what is advertised above. Information provided by this website is for research purposes only and should not be considered as personalized financial advice. The Company is not affiliated with, nor does it receive compensation from, any specific security. The Company is not registered or licensed by any governing body in any jurisdiction to give investing advice or provide investment recommendation. Any investments recommended here should be taken into consideration only after consulting with your investment advisor and after reviewing the prospectus or financial statements of the company.

    Copyright © 2024 SecretCharts.com | All Rights Reserved