Technical Momentum Outlook – Week 29

Portion of Article posted HERE @ Seeitmarket   


the-big-picture-2

Market indices, closing higher than the weekly open in contrast to the prior week for week 28 and setting new highs after consolidation of six weeks. Summertime volume surely not at it’s best to break above the 60 period average but enough to start out the week on a gap up and  hold above the short term 10ema.

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VIX levels continue to remain low below 10 as we head into week 29. Market history raises claim to such low levels as caution for indices retreat however with the wavering at these lows for weeks, doesn’t seem to have spooked the market for any significant pullback. RTY now after one week showing superb intraday trend as the matching TF and other indices moved upside. Though the volume not to match, a solid start for this new listing. Summertime momentum continues at it’s best in the AM session as we now roll into earnings season after financials started to report on Friday. Permabears haven’t given up yet.

FANG/FAAMG stocks rebounding with the NQ pursuing its chase back up to the all time highs after a gap up. Monitor the next several weeks as earnings should play out the bigger picture and give cause to warrant the higher valuation int he market on the tech sector.

Technically by the charts, the indices (YM/ES/NQ) open gaps from week 28 are the first targets downside on any pullback. Watch for any pullback to also test support off the nearby 10 and 50 period moving averages. With the surge back above the 10ema and two new all time highs made on the YM/ES, evidence of weakness has taken as back seat. As always be ready for both directions in the unpredictable market.

Key events in the market this week are on the lighter side with the Philly Fed and economic earnings starting to roll out.

Technical momentum probability REMAINS in a UPTREND on the bigger pic as we hold above the key moving averages. As always, BEWARE of the catalyst wrench (Washington Politics) that looms overhead of if and when the market may sell off in reaction to unsettling news.

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the-bottom-line

With all indices now above key moving averages, back within all time highs and a low VIX, monitoring for any pullback to the open gaps and or nearby 10/50 moving averages to the downside would be prudent. The case for higher highs is just as strong and whether you trade the intraday futures or indices ETF’s, momentum clearly resting on the uptrend is a much stronger play.

Swing ETF positions should be careful about chasing at the highs as pullbacks are always opportune times to re-enter the trend as the DIA  holding the strongest trend of all four indices. 

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I will notify through social media and my daily outlook; posted 30 minutes prior to the US open of any updates throughout the week.


 Attempting to determine which way a market will go on any given day is merely a guess in which some will get it right and some will get it wrong. Being prepared in either direction intraday for the strongest probable trend is by plotting your longer term charts and utilizing an indicator of choice on the lower time frame to identify the setup and remaining in the trade that much longer. Any chart posted here is merely a snapshot of current technical momentum and not indicative of where price may lead forward.


ES – S&P Futures

Technical Momentum: UPTREND 

Using the Murray Math Level (MML) charts on higher time frames can be a useful market internal tool as price action moves amongst fractal levels from hourly to daily charts. Confluence of levels may be levels of support/resistance or opportunities for a breakout move.

  • Multiple MML Overlay (DAILY )


Lowest Open Gap: 1869



NQ – NASDAQ Futures

Technical Momentum: UPTREND 

  • Multiple MML Overlay (DAILY )


Lowest Open Gap: 4017


RTY – Russell Futures (CME)

Technical Momentum: UPTREND 

  • Multiple MML Overlay (RANGE)


Lowest Open Gap: NONE  


YM – DOW Futures

Technical Momentum: UPTREND

  • Multiple MML Overlay (DAILY)


Lowest Open Gap: 15924


IJR – Small Cap ETF

Technical Momentum: UPTREND   

  • Buy Point: 53.7 (107.4 prior to split)
  • Gain: 31.71%
  • Price Split (1.19.17)


TQQQ – Proshare UltraPr0

Technical Momentum: UPTREND

  • Original Buy Point: 69.97 (7.14 price: 107.6)
    • April 2017: Added shares; 79.225 Cost Basis
    • July 2017: Sell partial shares
  • Gain: 35.82%

ETF Sectors

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As always, leave your bias at the door of where you think the market should be, watch the charts in front of you and stay away from the Z-Vals. Be ready in both directions. Trend will reveal itself on Heikin Ashi bars and proper trade management will keep you in the trend.


Thanks for reading and remember to always use a stop at/around key technical trend levels.


Don’t forget to view the end-of-the-day charts as momentum in the markets can shift substantially from day to day and reset any charts posted above.


Government Required Risk Disclaimer and Disclosure Statement

CFTC RULE 4.41 – HYPOTHETICAL OR SIMULATED PERFORMANCE RESULTS HAVE CERTAIN LIMITATIONS. UNLIKE AN ACTUAL PERFORMANCE RECORD, SIMULATED RESULTS DO NOT REPRESENT ACTUAL TRADING. ALSO, SINCE THE TRADES HAVE NOT BEEN EXECUTED, THE RESULTS MAY HAVE UNDER-OR-OVER COMPENSATED FOR THE IMPACT, IF ANY, OF CERTAIN MARKET FACTORS, SUCH AS LACK OF LIQUIDITY. SIMULATED TRADING PROGRAMS IN GENERAL ARE ALSO SUBJECT TO THE FACT THAT THEY ARE DESIGNED WITH THE BENEFIT OF HINDSIGHT. NO REPRESENTATION IS BEING MADE THAT ANY ACCOUNT WILL OR IS LIKELY TO ACHIEVE PROFIT OR LOSSES SIMILAR TO THOSE SHOWN.   oe

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