Dow Jones Industrial Average is testing support at 10600; failure would add final confirmation of the bear market signaled by 63-day Twiggs Momentum (holding below zero).
* Target calculation: 11000 – ( 12000 – 11000 ) = 10000
4 Replies to “The Dow tests key support at 10600”
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Do you attach any significance to the fact that the NYSE Composite is at a new low, both intraday and close, and the Russell 2000 is at a new low close while the other indexes have yet to do so? Are they just leading?
We were already in a bear market — just in the early “Denial” phase mentioned in earlier posts. Breakout below support would take us to the next “Abandonment of Hope” phase. NYSE and Russell 2000 are pointing towards that, but Dow and S&P500 will add final confirmation.
Colin, do you notice that there seem to be a positive divergent – Twiggs Money Flow moving fluctuating within a upward channel since post Aug 11 for Nasdaq and Wilshifre ($dws_US)
Interesting. It is more on Nasdaq 100 than on $DWS. Divergence on 21-day Twiggs Money Flow but not the longer-term 13-week version indicates a secondary movement rather than the primary trend.