Canada’s TSX 60 continues to test resistance at 820. After two false breakouts, follow-through above 830 would confirm, signaling an advance to 850*. Divergence on 13-week Twiggs Money Flow, however, warns of continued selling pressure. Reversal below 810 remains less likely, but would warn of a (bull trap) correction to 770.
* Target calculation: 810 + ( 810 – 770 ) = 850
TSX 60 VIX remains low, at 10. Typical of a strong bull market.
Canada’s TSX 60 broke through resistance at 820, signaling an advance to 850*. Sharp divergence on 13-week Twiggs Money Flow is testimony to the level of selling encountered at the resistance level. Completion of a trough high above zero would signal a strong up-trend. Reversal below 810 is unlikely, but would warn of a bull trap.
* Target calculation: 810 + ( 810 – 770 ) = 850
TSX 60 VIX is exceptionally low at 9, typical of a strong bull market.
Canada’s TSX 60 faces resistance at 820. A sharp fall/divergence on 13-week Twiggs Money Flow warns of short-term selling pressure. Reversal below 810 would indicate a correction, while breakout above 820 would signal an advance to 840*.
* Target calculation: 805 + ( 805 – 770 ) = 840
TSX 60 VIX below 15 continues to reflect low risk typical of a bull market.
Canada’s TSX 60 is testing resistance at the 2011 high of 820. Rising troughs above zero on 13-week Twiggs Money Flow signal buying pressure. Breakout above 820 would signal an advance to 840*. Expect support at 800 and the rising trendline.
* Target calculation: 805 + ( 805 – 770 ) = 840
TSX 60 VIX below 15 indicates low risk typical of a bull market.
Canada’s TSX 60 is testing the January high at 806. Higher troughs on 13-week Twiggs Money Flow suggest strong buying pressure. Breach of the rising trendline is unlikely, but would warn of another test of primary support at 770. Expect long-term resistance at the 2011 high of 820*.
* Target calculation: 780 + ( 780 – 740 ) = 820
New lows on the TSX 60 VIX flag a strong bull market.
Canada’s TSX 60 is heading for a test of resistance at the 2011 high of 820* after successfully testing its new support level at 780. Rising 13-week Twiggs Money Flow suggests strong buying pressure. Breach of the rising trendline is unlikely, but would warn of a correction.
* Target calculation: 780 + ( 780 – 740 ) = 820
Declining TSX 60 VIX, below 20, flags a bull market.
Canada’s TSX 60 is retracing to test its new support level at 780. Respect would confirm an advance to 820*. Bearish divergence on 13-week Twiggs Money Flow suggests nothing more than secondary (medium-term) weakness unless there is a crossover below zero. Breach of the rising trendline is unlikely, but would test primary support at 750.
* Target calculation: 780 + ( 780 – 740 ) = 820
TSX 60 VIX is rising but remains bullish.
Canada’s TSX 60 respected support at 772/775, indicating an advance to 800*. Bearish divergence on 21-day Twiggs Money Flow reflects selling pressure during the recent consolidation. A trough above zero would indicate buying pressure, but reversal below zero would warn of a correction — as would breach of short-term support at 772.
* Target calculation: 740 + ( 740 – 680 ) = 800
TSX 60 VIX at historic lows signals a bullish outlook for stocks.
Canada’s TSX 60 is consolidating in a narrow range at its medium-term target of 770 after a strong spurt. This is a bullish sign and follow-through above 775 would signal a further advance to 800*. Rising 13-week Twiggs Money Flow suggests buying pressure. Reversal below 740 is most unlikely.
* Target calculation: 740 + ( 740 – 680 ) = 800
TSX 60 VIX is above 15 but still in the low risk range.
The Nasdaq 100 continues its accelerating up-trend — as indicated by successively steeper trendlines and a rising trendline on 13-week Twiggs Momentum. Accelerating trends, or blow-offs, are well-known for rapid gains but inevitably end with a sharp fall.
* Target calculation: 2900 + ( 2900 – 2500 ) = 3400
The CBOE Volatility Index (VIX) remains below 15, indicating low market risk.
The S&P 500 is edging higher on the weekly chart, but bearish divergence on 13-week Twiggs Money Flow warns of rising selling pressure. Reversal below the secondary trendline at 1700 would indicate a correction to the primary trendline and primary support at 1630.
* Target calculation: 1730 + ( 1730 – 1650 ) = 1810
Dow Jones Industrial Average is testing resistance at 15700. Breakout would offer a target of 16600*. Respect of the descending trendline on 13-week Twiggs Money Flow, however, would confirm the earlier bearish divergence and warn of a correction to primary support at 14800. Breach of 14800 remains unlikely, but would signal a reversal.
* Target calculation: 15700 + ( 15700 – 14800 ) = 16600
Canada’s TSX 60 is retracing after a strong spurt. Duration of retracements reflect trend strength. Another trough above zero on 13-week Twiggs Money Flow would suggest strong buying pressure. Reversal below 740 is most unlikely, but would warn of trend weakness.
* Target calculation: 740 + ( 740 – 680 ) = 800
TSX 60 VIX below 15 also reflects low market risk.
