Stock Markets Archives - Page 156 of 170

January 30, 2012

India & Singapore retreat

India’s NIFTY index encountered resistance at 5200. Respect of the upper trend channel — and 63-day Twiggs Momentum respecting the zero line (from below) — would suggest a down-swing to test the lower trend channel.

NSE/S&P Nifty Index

The BSE Sensex also retreated from its upper trend channel but rising 13-week Twiggs Money indicates buying pressure. Follow-through above the recent high at 17250 would signal declining momentum — and that a base is forming.

BSE Sensex Index

Singapore’s Straits Times Index also retreated, but from resistance at 2900. Follow-through above the recent high would confirm the higher trough and the start of a primary up-trend. Target for the initial advance is 3200*. Respect of resistance is less likely, but would warn of another test of primary support at 2600.

Straits Times Index

* Target calculation: 2900 + ( 2900 – 2600 ) = 3200

January 30, 2012

China: Shanghai & Hang Seng

China’s Shanghai Composite index retreated below resistance at 2300, from the 2010 low. Expect a down-swing to test the lower trend channel at 2000*. 63-day Twiggs Momentum oscillating below zero indicates a strong primary down-trend.

Shanghai Composite Index

* Target calculation: 2150 – ( 2300 – 2150 ) = 2000

Hong Kong’s Hang Seng index is more bullish, but retreat below the new support level at 20000 would indicate hesitancy. And breach of the rising (green) trendline would warn of a bull trap — as would respect of the zero line (from below) by 63-day Twiggs Momentum.

Hang Seng Index

* Target calculation: 20 + ( 20 – 18 ) = 22

January 30, 2012

Australia: ASX 200

The ASX 200 is headed for a test of resistance at 4400. Rising 13-week Twiggs Money Flow indicates buying pressure. Breakout above 4400 would complete a higher trough, signaling the start of a primary up-trend, but selling pressure in US and Chinese markets may prevent this.

ASX 200 Index

* Target calculation: 4400 + ( 4400 – 4000 ) = 4800

January 30, 2012

Canada: TSX 60

Canada’s TSX 60 index is stronger,with rising 13-week Twiggs Money Flow indicating buying pressure. Breakout above resistance at 715 would complete a higher trough, signaling a primary up-trend. Target for the initial advance would be 770*.

TSX 60 Index

* Target calculation: 710 + ( 710 – 650 ) = 770

January 30, 2012

UK & Europe

Dow Jones UK index retreated below support/resistance (the lighter shaded candle reflects an incomplete week) at the October 2011 high, suggesting a bull trap. Bearish divergence on 13-week Twiggs Money Flow warns of strong selling pressure.

DJ UK Index

The FTSE 100 shows a similar bearish divergence on 13-week Twiggs Money Flow. Reversal of 63-day Twiggs Momentum below the zero line would strengthen the bull trap signal.

FTSE 100 Index

Dow Jones Europe index is testing medium-term support at 240. Breach of the green ascending trendline would warn of another test of primary support at 210 — as would 63-day Twiggs Momentum respecting the zero line.

DJ Europe Index

January 30, 2012

Dow and S&P bearish divergence

Dow Jones Industrial Average is already in a primary up-trend, having completed a higher trough late last year, and is now testing the 2011 high of 12800. Retracement to 12300 and the rising trendline is likely. Respect would confirm the new up-trend, but a large bearish divergence on 13-week Twiggs Money Flow warns of failure and a cross below zero would indicate reversal to a primary down-trend.

Dow Jones Industrial Average

The Nasdaq 100 displays a similar bearish divergence on 13-week Twiggs Money Flow, warning of strong selling pressure. Retreat below 2400 would indicate a bull trap.

Nasdaq 100 Index

* Target calculation: 2400 + ( 2400 – 2150 ) = 2650

The S&P 500 has not yet reached its 2011 highs but retreat of 13-week Twiggs Money Flow below zero would warn of strong selling pressure and a primary trend reversal.

S&P 500 Index

January 23, 2012

Dow Jones Europe

Even Europe is showing signs of life, with Dow Jones Europe Index breaking medium-term resistance at 240 to signal a test of 260. Breach of the descending trendline would suggest a bottom is forming. Recovery of 63-day Twiggs Momentum above zero would strengthen the signal. In the long-term, breakout above 260 would complete a double-bottom reversal with a target of 310*.

Dow Jones Europe Index

* Target calculation: 260 + ( 260 – 210 ) = 310

January 23, 2012

Australia, Japan and South Korea

Australia’s ASX 200 index is lagging other resources markets, but penetration of the descending trendline on Monday suggests that a bottom is forming. Breakout above 4400 would signal a primary up-trend, with an initial target of 4800*.

ASX 200 Index

* Target calculation: 4400 + ( 4400 – 4000 ) = 4800

Japan’s Nikkei 225 is headed for a test of 9100, but still has some way to go. Cross-over of 63-day Twiggs Momentum above zero would be a bullish sign.

Nikkei 225 Index

Dow Jones South Korea Index is testing resistance at 420. Respect of the zero line by 13-week Twiggs Money Flow indicates buying pressure. Breakout above 420 would complete a higher trough, signaling a primary up-trend. Target for the initial advance would be 460*.

DJ South Korea Index

* Target calculation: 420 + ( 420 – 380 ) = 460

January 23, 2012

Canada, Brazil and South Africa

Resources markets are recovering, with Canada’s TSX 60 index testing resistance at 715 after breaching the descending trendline. Breakout would complete a higher trough, signaling a primary up-trend. Target for the initial advance would be 800*. Rising 13-week Twiggs Money Flow indicates buying pressure.

TSX 60 Index

* Target calculation: 720 + ( 720 – 640 ) = 800

Brazil’s Bovespa broke through 60000, signaling a primary up-trend with an initial target of 65000*.

Bovespa Index

* Target calculation: 60 + ( 60 – 55 ) = 65

South Africa’s JSE Overall Index broke clear of 33000, signaling a primary up-trend. Bullish divergence on 13-week Twiggs Money Flow strengthens the signal. Initial target for the advance is 35000*, with a long-term mark of 37000.

JSE Overall Index

* Target calculation: 33 + ( 33 – 31 ) = 35

January 23, 2012

S&P breakout confirmed

The S&P 500 breakout above 1300 suggests a primary advance to 1450*. Rising 13-week Twiggs Money Flow indicates buying pressure.

S&P 500 Index

* Target calculation: 1300 + ( 1300 – 1150 ) = 1450

The signal was confirmed by similar breakouts on Dow Industrials and the Nasdaq 100, the latter offering a target of 2750*.

Nasdaq 100 Index

* Target calculation: 2400 + ( 2400 – 2050 ) = 2750

Dow Transportation Index has also completed a higher trough, signaling a primary up-trend. 63-day Twiggs Momentum recovery above zero strengthens the signal.

Dow Transportation Index

* Target calculation: 5050 + ( 5050 – 4550 ) = 5550