Written by Gary
Closing Market Commentary For 05-30-2014
Interesting session in that the SP500 set record new historic highs (1924.03) on very low volume, neat trick. The major averages remained mixed, flat, lackluster or all three during today's session. Many investors were scratching their heads, taking defensive positions or outright going to cash. Clearly, the 'Wall Street Manipulators' and the HFT crowd were doing their magic today and may continue to do so Monday.
By 4 pm the SP500 made a new historical closing high (1923.57) along with the DOW at 16717. The $VIX dropped to 11.32 the lowest it has been in a year which also coincides with the same month (March) in 2007.
There are a lot of negative as well as positive indicators, pulling this market apart and that is NOT bullish. Our proprietary indicators CLEARLY indicate a reversal coming, not necessarily a correction, but a turnaround to clear out this oversold condition. However, even a slight reversal could prompt something more serious as many notable analysts have been calling for something greater than a 10% correction to be coming our way sooner rather than later.
Tomorrow morning, I will post my weekend report on the Bears Side Of The Story.
The short term indicators are leaning towards the hold side at the close. The all important signs of reversal, up or down, have not been observed so we are mostly, at best, neutral and conservatively holding. The important DMA's, volume and a host of other studies have not turned and that is not enough for me to start shorting. The SP500 MACD has turned up, but remains above zero at 11.75. I would advise caution in taking any position during this volatile transition period although Barchart.com shows a 24 % sell. (Was 40% sell this morning.) Investing.com members' sentiments are 68 % bearish.
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The DOW at 4:00 is at 16717 up 18 or 0.11%.
The SP500 is at 1923.57 up 3.54 or 0.18%.
SPY is at 192.58 up 0.31 or 0.16%.
The $RUT is at 1135 down 6 or -0.49%.
NASDAQ is at 4243 down 5 or -0.13%.
NASDAQ 100 is at 3737 up 1 or 0.03%.
$VIX 'Fear Index' is at 11.40 down 0.17 or -1.47%. Neutral Movement
(Follow Real Time Market Averages at end of this article)
The longer trend is up, the past months trend is upwards, the past 5 sessions have been positive and the current bias is mixed with a positive slant.
WTI oil is trading between 103.93 (resistance) and 102.42 (support) today. The session bias is negative and is currently trading down at 102.82.
Brent Crude is trading between 110.36 (resistance) and 109.22 (support) today. The session bias is negative and is currently trading down at 109.55.
Gold fell from 1260.62 earlier to 1242.50 and is currently trading up at 1252.00. The current intra-session trend is positive.
Dr. Copper is at 3.133 falling from 3.159 earlier.
The US dollar is trading between 80.55 and 80.36 and is currently trading down at 80.42, the bias is currently sideways.
Real Time Market Numbers
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Written by Gary