The Morning Call
12/17/18
The
Market
Technical
The
S&P had a volatile week. It tested
its late October low on Monday. Then rallied hard only to close right on that
low on Friday. A successful challenge of
that support level will set it up to test the lower boundary of its short term
trading range. If that level is negated,
stocks will have a real problem.
The
long bond is once again pushing against the upper boundary of its short term
downtrend. Notice that it has tried
twice earlier in the year to challenge this boundary, but was unsuccessful. Its recent strength notwithstanding, until
TLT takes this boundary out, it is just in a rally in a bear market.
The
dollar remains strong, finishing above both MA, in short term uptrend and
lifted above the lower boundary of its very short term uptrend.
Gold
was off on Friday but still ended in a weak uptrend and above its 100 DMA. It seems to be shying away from challenging
its 200 DMA.
The
VIX’s chart remains strong (bad for stocks) as you might expect given the
recent pin action. Note the 100 DMA crossing
above its 200 DMA. However, the VIX has
shown less volatility in both directions.
It was up 4 ¾% Friday, but that was calm for a down 500 point Dow
day.
Fundamental
Headlines
News on Stocks in Our Portfolios
Economics
This Week’s Data
US
The December NY Fed
manufacturing index came in at 10.9 versus expectations of 21.0.
International
October
EU imports and exports both grew; but their net effect was a decline in the EU
trade surplus.
Other
The
ECB’s QE failure.
What
I am reading today
Quote of the day.
Visit Investing
for Survival’s website (http://investingforsurvival.com/home)
to learn more about our Investment Strategy, Prices Disciplines and Subscriber
Service.
No comments:
Post a Comment