Posts Tagged ‘market preview’

The ES was higher by 18 on the day. This was expected after our 10-day Trin recorded an oversold reading. Note that price is above all of the major moving averages.

The NQ futures were higher by 39 full handles on the day. Again price is back above all the major moving averages but needs to prove itself by clearing the 5/8 level.

The total put/call ratio recorded an extreme downside reading which is a serious cause for concern for the bulls.

Multi sector daily chart:

The 10-day Trin is even more overbought and climatically reading that the overall market is out of upside gas.

The BKX was the top gun on the day, exploding past the recent high and decisively closing above the 4/8 level.

The OSX is still technically challenged and traded in-line with the market. Keep in mind that it is still below the DTL.

The BTK was higher on the day but did not make a new high on the move.\

The SOX lagged the NAZ and remains below the 200dma.

Oil:

Gold:

Silver:

The ES was higher on the day by 4 handles, nominally expanding the upside of the recent range on a low volume day. While the day was unimpressive internally, this is the first session of the move that where the close settled above the open.

The NQ futures put in a similar relative performance to the SP but still have a very different technical setup as price remains below the 50 and 200dma’s. The Relative weakness in the NQ side will be discussed in more detail below. Keep a close eye on the key 4/8 Gann level just abovfe.

Multi sector daily chart:

Total put/call ratio:

The 10-day Trin remains neutral:

The NDX has had persistent weakness vs. the SPX side since mid-September. This is a clear warning sign and a classic intermarket divergence. This condition needs to be rectified or it will surely hold back the overall broad market. Note the attempt to break back into the trend channel and rejection.

While the NDX tends to lead the SPX within the NDX there is a key leading component the SOX. As described above the NDX has relative weakness but the SOX has been improving after not making a new relative low. If the SOX can get back above the trend channel, then the NDX will have its trend leading component in a bullish position of relative strength.

The BTK was the top Naz sector, once again challenging the active static trend line.

The XAU is bouncing off a short-term oversold condition.

The SOX has settled above the static trend line and is now on the north side of the 10ema and 50dma. The next challenge will be the 200dma if it can clear relatively minor 5/8 Murrey math level.

The OSX is still grinding in the area of the active DTL:

The BKX was a laggard and is still contained by the 50dma:

If oil moves just a bit lower it will record a Seeker exhaustion buy:

Gold:

Silver:

The SP was higher by 3 on the day and really did very little technically. The day’s real body is almost exactly what yesterday’s was and price was little changed. The settlement remains pinched between the 10ema and 50sma. The range needs to be resolved and then new technicals will develop. Keep in mind that there is still a recent Seeker 9 bar setup that has just completed.

The NQ futures were lower on the day by a hefty 27 handles. This was undoubtedly because of the steep losses in AAPL which is the largest NDX member. It is what it is and this settled the futures below the 10ema which turns the chart back to short term negative. Another technical to beware of is the fact that price is now back below all of the important moving averages and 50dma may cross below the 200dma which some technicians believe accelerates the move. That’s not our technical perspective but moving average crosses are widely followed and can be a self-fulfilling event.

Multi sector daily chart:

Total put/call ratio:

The 10-day Trin is staging but has not yet recorded an overbought reading.

The NDX very weak vs. the SPX and this condition is always worrisome for the broad market bulls.

The BKX was the top gun on the day but was unable to break out of the recent trading range. Keep in mind that the 50dma is a key level.

The OSX was slightly higher and is approaching a major break out/resistnace level where the moving average meets the trend line.

The SOX was flat on the day with no new technical developments.

The BTK was inside yesterday’s candle and unchanged on the day.

The housing index, HGX, finally is feeling the effect of the Seeker. This break should have been expected and is likely just starting a move.

While the HGX got smashed, it was not the weakest sector on the day, that place was taken by the XAU. This broke the XAU to a new low, be sure to see the comments on gold futures below.

Oil:

Gold recorded a Seeker exhaustion signal and should find support. Keep an eye on the YG, GLD and XAU for signs of reversal.

Silver:

The SP was little changed on the day still unable to get above the key 50dma. Price used the 10ema for support and the resolution of this mini-range should extra punch.

The NQ futures were lower on the day by 5 and has the same range condition as the SP side. Beware that the 4/8 Murrey math levels is the third strongest of the box.

Multi sector daily chart:

The total put/call ratio remains neutral:

10-day Trin:

The SPX/TLT ratio took a turn in favor of risk off and is still unable to challenge the upper half of the trading range.

The OSX was top gun on the day and closed at a new high on the move. Note that the 50 and 200dma’s will be strong overhead.

The SOX was notable stronger than the overall NAZ.

The XAU was flat on the day after recouping a big loss. This has the potential to be an important higher low.

The BTK is still contained by the active static trend line but above all the major moving averages.

The BKX was the last laggard on the day and has troubling looking construction. Note that there has been no 9 bar seeker setup buy to support it.

Oil:

Gold:

Silver:

The ES was lower by 8 on the day after completing the 9 bar Seeker setup on Friday. Price is still being rejected by the 50dma that we have been focusing on. Going forward this will be an important point of reference perhaps even more so than the intraday high that was put in place Monday. Note that the CCI has not yet crossed the zero line which is where lasting upside momentum lies.

The NQ’s were only down ½ as much as the SP side but the chart construction is identical. Price opened above the 50dma and as it should have failed. The MACD has the same condition with no penetration of the zero line. The ES, NQ and YM all have downside CPS signals.

Multi sector daily chart:

The 10-day Trin is below the 1.00 level but not yet in the overbought area of 0.85-.

The total put/call ratio is still in the neutral zone.

The relative strength of the NDX/SPX cross has just turned back into the comfort channel. A little more penetration into the channel would be a nice bullish sign for the NDX

The SPX/TLT cross is stuck in the middle of the channel. This is the current midpoint of the risk-on/risk-off measure.

The XAU was the last laggard on the day and continues to bearishly ride the 10ema lower.

The BKX is still pinching between the two big moving averages.

The SOX completed 9 days up in the Seeker and bearishly closed back below the 4/8 level.

The OSX was stronger than the broad market:

Oil:

Gold:

Silver:

The ES was higher by 9 on the day racing back up to the top of the recent range. The bad news is that the range is still holding and has not yet been resolved.

The NQ futures tested the 200dma and settle up on the day by 19. Keep in mind that this is a key area of resistance at the 4/8 Gann level.

The 10-day Trin is getting very close to the overbought threshold of 0.85:

The put/call ratio remains neutral:

Multi sector daily chart:

The NDX/SPX cross is getting close to bullishly challenging the former breakdown:

The broker-dealer index aggressively broke to a new high. Expect resistance at the 8/8 level.

The SOX was stronger than the overall NDX. Layered overhead begins at the 4/8 level.

The OSX is now 12 days down on the Seeker count.

The XAU recouped very steep losses mid-day to finish stronger than the overall market.

Oil:

Gold

The ES posted another inside day, losing a net 6 handles. The mini-pattern is still contained within Friday’s range expansion candle so the resolution of the range should have good punch.

The NQ side had a little relative strength vs. the SP side. As expected the dual overhead of the 4/8 Gann level and 200dma are going to give the trend at least some initial trouble.

Multi sector daily chart:

The total put/call ratio remains neutral:

The SPX/TLT cross has rebounded back into the trend channel but the posture remains risk-off until the ratio crosses back above the upper channel boundary.

The SOX was the top major sector on the day but left a gravestone doji on the chart. The intermediate trend remains neutral until the trend line is broken.

The OSX was lower by 2 and used the 10ema for support.

The BKX was much weaker than the broad market and settled below the 10ema.

Oil:

Gold:

Silver:

The ES was higher by 4 on the day after posing a measuring day. Probability favors a continuation tomorrow.

The NQ was higher by 8 on the day:

Total put/call ratio:

NYSE 10-day Trin:

The BTK outperformed the broad market:

Oil:

Gold:

Silver:

The ES gapped higher and added onto the gains to close up 23 handles. Price is now above the 10ema which changes the short-term trend to positive. The advance today also cleared the 4/8 Murrey math level which is also bullish. Since the NYSE Trin closed around 0.50 a measuring day rather than more range expansion is likely.

The NQ futures were higher by 56 on the day. Though the levels are different the technical setup is very similar to the ES. As it should, the chart pattern found initial support at the 0/8 level. If the chart follows through either Tuesday or Wednesday then the 4/8 level that is coincident with eh 200dma will be in play.

The total put/call ratio has moved back to the neutral area but is well away from overbought.

The 10-day Trin still has plenty of room before it recorded a reversal signal.

Multi sector daily chart:

On the strength of AAPL the NDX/SPX cross has blasted back into the comfort zone of the trading zone.

The BKX had a very strong session showing good relative strength vs. the overall broad market SPX. If the relative strength can persist it will be very bullish for the overall market.

The OSX was the top sector on the day, nicely closing above the 10 ema.

The US$ was weak on the day and the XAU took a healthy reflexive bounce. Price remains below all of the major moving averages.

The BKX banking index was stronger than the broad market and NAZ. Keep in mind that this has been one of the stronger sectors on the day and in the larger time frames still bullishly has the 200dma below.

The SOX traded in line with the Naz.

The BTK was the last laggard on the day and is back into the heart of the recent range.

Oil:

Gold:

The ES lost 18 handles on the day and recorded a new low on the move. Price has broken below the 4/8 Murrey math level but is close to recording an oversold reading of -200 on the CCI. Next support is 1343.75.

The NQ futures also made a new low on the move, losing 31 on the day. The chart has broken below the 1/8 level and should find support at the 0/8 level in the 2500 area. Like the SP side, the CCI is very close to an oversold reading.

The total put/call ratio is close to an oversold reading but not quite yet…stay tuned.

The 10-day Trin is still in the neutral range.

Multi sector daily chart:

The SOX/NDX cross chart is still in the trading range:

The Dow/gold ratio remains in a bearish trend with the hard asset favored over equities—weekly chart below.

The SOX was the top sector on the day. Note the key Murrey math level that is again being used for support.

The OSX traded in-line with the broad market but did make a new low on the move.

The BTK continues to game the 200dma so nothing new technically. Keep in mind that it still has relative strength.

The banking index broke below the key 200dma but expect it to at least find short term support here. The 200dma tends to be gammed when first tested.

The XAU was the last laggard on the day. Next important support will be the active static trend line.

Oil:

Gold:

Silver:

The ES lost 7 on the day which made a new low on the move and matched the low close. Average prices are lower over the course of the expiring option cycle so traders shouldn’t be surprised by the lack of bids. Wednesday is the key day this week ahead of Friday’s expiration and be sure to be ready for a move after 60mins into the day and respect the direction of the move.

The NQ’s were weaker then the broad market futures and decisively made a new low on the move. Keep in mind that both the SP and NQ’s settled above the open which puts in place a camouflage buy condition.

Total put/call ratio:

10-day Trin:

Multi sector daily chart:

SPX vs. NDX daily comparison chart:

The relative performance chart still shows bearish action from the NDX side.

The BTK was the top performer on the day after recording a flat session.

The OSX posted and inside day with a small gain. Price remains bearishly below all of the major moving averages.

The SOX was weaker than the broad market. Keep a close eye on the MACD for a positive cross above the zero line which would be a game changer for the chart.

The BKX made a new low on the move. Key support is just below at the static trend line and 200dma. Option expiration could take price down to either level.

Oil:

Gold:

Silver:

The ES logged a pretty flat day but expanded the downside range and made a second close below the static trend line which will now break it. Key support remains at 1406.

The NQ futures were lower by 10 on the day settling right at the key 200dma. Keep in mind that the 200dma tends to get gamed when first tested so be prepared.

The 10-day Trin is still carrying oversold energy.

Multi sector daily chart:

The NDX vs. SPX shows the troublesome relative weakness in the NDX. There is some separation in the chart and traders should be prepared for a window where the SPX has some relative weakness while the Naz side uses the 200dma for support. This won’t change anything but after this window closes then the relative behavior again becomes front and center.

Copper, affectionately known as the PhD of commodities, has broken decisively below all major moving averages. In the chart of the copper tracking JJC etf, there is now no noticeable support until the Seeker static trend line at 43.75. Careful examination of the chart patter will show a multi month island in place.

The HGX housing index was the top gun on the day. The pattern has had a very nice run and is only one strong day away from a Seeker 13 exhaustion signal.

The BKX was lower on the day but outperformed the NDX. Price has yet to violate the Sep low and the 50dma—this is the key area.

The BTK is breaking with the 200dma in sight. Note that the MACD is in a very bearish position with downside momentum gathering.

The SOX index has bearishly made a new low on the move asd is now to the last real area of support before the prior lows.

The OSX was weaker than the broad market and is back down to key support.

The XAU was the last laggard and has settled below the low of the recent trading range. Keep a close eye on the key 175, 4/8 level for the next area of support.

Oil:

Gold:

Silver:

The ES was higher by 6 on the day after a strong afternoon rally. While the end of the day may have “felt good” to the bulls, it is still below the midpoint of Friday’s break which remains a technical negative and keeps the bears in charge. 1435 is key overhead and the active static trend line is near-term support.

The NQ futures were twice as strong as the ES but still leave the bears in charge. The combination of the static trend line and 4/8 level are near-term support and the 2706 is the key resistance level. The MACD is negative but in no way oversold.

The total put/call ratio remains neutral:

The 10-day Trin is also neutral being neither overbought nor oversold.

Multi sector daily chart:

The NDX has broken decisively below the support line indicating weakness in the Naz stocks which will likely be an anchor on the overall broad market.

The HWI hardware index posted an inside day and could be trying for a double bottom.

The defensive XAU put in a strong showing and could be building a handle below the 8/8 level.

The SOX was about flat on the day but remains below all of the key moving averages.

The BKX is winding up in a triangle and poised to breakout because it’s getting closer to the apex of the pattern.

The OSX was weaker than the broad market and has key overhead at the static trendline.

The BTK was the last laggard on the day and is in a confirmed short-term down trend. Note that the MACD has crossed below the zero line.

Oil followed through the 50dma:

Gold:

Silver:

The ES sprinted higher by 14 handles leaving an open gap. The 10ema has been reclaimed by the bulls and the chart is now above all the major moving averages.

The NQ futures were higher by 34 on the day and finally shook off, at least for a day, the persistent relative weakness. If the up move continues, the 50dma and 8/8 levels overhead are all big.

The total put/call ratio is moving towards but not yet at a climatic reading.

The 10-day Trin is neutral:

Multi sector daily chart:

The SOX finally showed some relative strength and has yet to break.

The NDX/SPX cross is still holding onto key support.

Note in the SPX/NDX comparison chart that the NDX is back at the key breakout level. This could provide resistance in the next couple of sessions and is the first area that qualifies as a retest of the current high.

The SOX was the top gun on the day and closed above the 10ema for the first time in weeks.

The defensive XAU was suspiciously strong. Yes this index is seasonally strong now but the underperformance in the banks is not what the bulls were hoping for.

The OSX is trying to pivot but will need another day to prove itself.

The BTK posted an indecisive inside day.

The BKX was the last laggard by a wide margin and was the only major sector down on the day. Key support remains at the 8/8 level.

Oil:

Gold:

Silver:

The ES was higher on the day by 14 handles. This was the best close in 4 sessions but did not change the trend back to short-term positive because price remains below the 10ema. If the pattern turns back lower then look to the static trend line for support.

The NQ was higher by 21 on the day but still has relative weakness vs. the SP side. The pattern is still below the 10 and 50 period moving averages. Keep in mind that on a bounce and a retest of the YTD highs the Seeker could still record a sell signal.

The total put/call ratio is still in the normal trading range.

The 10-day Trin is still neutral:

Multi sector daily chart:

The relative weakness in the NDX vs. SPX is painfully clear in the cross ratio chart. Keep a close eye on a break below the recent support level which will be a key inflection point.

The SOX closed at a new low on the move and does not yet have any support from the Seeker for a reversal.

The BKX posted an indecisive inside day. It will take until the range is resolved to have a technical development. Keep in mind that the 8/8 level is very strong.

The OSX is still range bound and below all of the major moving averages.

BTK was the weakest sector on the day. It was flat and is still above the key 50 and 200 period moving averages.

Oil:

Gold:

Silver:

The ES lost 14 on the day, closing decisively back below the 10ema. The double top potential is there but cannot be called so until the September lows are undercut. Note that he September lows will have critical support from the rising 50dma if traded.

The NQ was relatively weak vs. the SP by losing a full 43 handles. The pattern is now below the 10ema and 50sma. The CCI is just above the oversold threshold of -200.

10-day Trin:

Multi sector daily chart:

Note the relative weakness in the NDX which is always bearish.

The OSX was the only major sector that was higher on the day though price remains bearishly below all of the major moving averages.

The BKX continues to have potential for a double top but the pattern is still positive with price above the 10ema.

The SOX gapped to close at a multi month low. Next support is the Murrey math 3/8 level.

The BTK got slammed, closing weaker than the Naz and broad market. Key support and a break level is the July high.

The computer hardware index was the weakest sector on the day. The recent weakness in HPQ and AAPL are pulling heavily on this index. Note the open gap that is in the sights of the bears to close. The next level to watch after that will be the 0/8 level.

Oil:

Gold:

Silver:

On light, quasi-holiday, trade the ES gapped down and ultimately lost 6 on the day. The gap remains open which leaves an unfavorable 2 day pattern. The old high was tested, leaving a range high camo sell candle on the chart and today a slight follow through.

The NQ futures were much, much weaker than the broad market losing 27 on the day. Key support/breakdown level is just below at the 50dma and last month’s low.

The put/call ratio that is on the rise should raise some eyebrows. The closing reading wasn’t climatic but this is often how you get to one.

The 10-day Trin still has oversold energy to be released.

If there is any good news for the bulls form the day’s action it’s that the Sox/Ndx cross didn’t yet break. Stay tuned.

The relative weakness in the NDX vs. the SPX is very bearish. This is exactly what is usually observed before the market moving to short term then intermediate term negative.

The OSX was the top gun on the day but was only marginally positive. Price remains below the important MA’s.

The BKX traded in-line with the broad market. The chart is positive but traders will need to pay close attention to the Sept. lows which would qualify a double top if they are undercut.

The market leading BTK hit the key 8/8 level. We will have to pay close attention to how price interacts with the 10ema.

Oil:

Gold:

Silver:

The ES gained 4 on the day and remains in an upwardly drifting pattern. Price is still contained within last week’s range.

The NQ futures are still staging under the key 8/8 level. The Seeker pattern is still 12 days up with an exhaustion signal on deck.

Total put/call ratio:

The 10-day Trin is still oversold and has upside energy that hasn’t yet been released.

Multi sector daily chart:

The SOX/NDX cross needs to stop right here or a real break down and new lows for the SOX are in the cards.

Watch the BKX closely here to see if the financials can exert themselves and provide leadership.

The BKX was again the top gun on the day setting above the key 8/8 level. This close above the 10ema turns the chart short-term bullish.

The BTK was relatively strong and settled just below the prior high. Be sure to look at stocks in this sector for 52 week breakouts.

The SOX was weaker than the NQ’s on the day and remains below all of the key moving averages.

The XAU is used the 6/8 level for support and needs to hold here since there is a potential for a lower high. 181 is the next level of support and a close below 188 will qualify the lower high in the pattern.

The OSX broke and closed at a new low on the move. This chart looks like trouble for the bulls and should be fuel for the bears to look for shorts. Price broke the static trend line and the MACD breeched the zero line.

Oil put in a notable break and may have trouble holding at the 4/8 level because the MACD has crossed the zero level.

Gold:

Silver:

Copper:

The ES settled higher on the day by 3. Since price settled below the open but up on the day it is a camouflage sell signal. Also on the chart is very tall tail which is never bullish at range high.

The NQ futures were much weaker than the broad market all day. Price closed below the open and lost a net 4 handles on the day. Keep in mind that the Seeker sell count is 12 days up.

AAPL is the locomotive engine that drives the NQ and today it closed below last week’s low and in fact it made a new low monthly close. We usually don’t talk about individual stocks in this part of the report but since AAPL has such a heavy weighting in the NQ’s and with its supply chain can really dictate which track the NQ train takes.

Total put/call ratio:

The 10-day Trin is still oversold which will provide the market upside fuel when it turns.

Multi sector daily chart:

The SOX was the last laggard on the day but posted an inside candle so we’ll have to defer to a break of Friday’s candle for any new technical development.

The OSX was unchanged:

The BKX posted a very narrow range day, staging below the 8/8 level.

The BTK was the strongest sector and still has a bullish formation with price above all major moving averages.

Oil:

Gold:

Silver:

The ES expanded the downside and lost 10 handles on the day. Keep the static trend line in mind for a trade to target on the initial decline.

The NQ futures were weaker than the broad market losing 29. Price is below the Q1 breakout and looks poised to tag the 50dma.

Total put/call ratio:

10-day Trin is on the rise but not yet oversold.

Multi sector daily chart:

The SOX/NDX is hovering at the prior low. If this breaks and makes a new leg down then the NDX is in big trouble.

The defensive XAU was the top gun on the day and the only major sector up on the day. A reclamation of the 10ema could begin the tracing out of a handle in the oval pattern.

The SOX was actually slightly stronger than the NDX which is why out ratio chart above didn’t break to a new low yet. 4/8 is key near-term support.

The BKX traded in line with the market. Note the gap just above candle 1 of the most recent Seeker setup count.

The OSX was the last laggard on the day and is very close to key support at the static trend line. Note that this candle breaks it below all of the moving averages.

Oil:

Gold:

Silver:

TLT:

The ES lost 14 on the day decisively settling below the 10ema, turning the short-term trend negative. The next key support is very obvious on the chart where the Q1 highs align with the active static trend line.

The NQ futures were weaker than the broad market and already are much closer to the key Q1 highs. Note that the pattern is 12 days up in the Seeker countdown so a bounce an retest of the highs will likely fail.

The intraday Trin closed at a very high level and almost has the 10-day average in the oversold range.

Total put/call ratio:

Multi sector daily chart:

The SOX/NDX cross made a new marginal low on the move. A follow through to the downside would be very bearish for the overall NDX.

All of the major averages were lower on the day with the BTK being the best of the worst. There is key support just below at the previous breakout level.

The OSX traded in line with the broad market and is dangerously close to breaking below the 50 and 200dma’s. If they are taken out, look out below.

The BKX settled below the 8/8 level and more importantly below the Q1 highs showing relative weakness on the day. There is a lot of space between settlement and the next support area defined by the static trend line.

The important SOX index had a horrible day losing 2.5% and settling decisively below all the major moving averages. This is real problem for the NDX and by association the SPX. The chart is short term oversold but should find resistance on bounces to the 6/8 level

Oil:

Gold:

Silver:

The SP gapped down in the neighborhood of the LPT and was able to close the gap and ultimately settle flat on the day. This is a technical win for the longs because of the large gap if the bears wanted to press the opportunity was there. Price is still above the short-term trend defining 10ema.

The NQ futures also settled above the 10ema but did not close the gap and closed down 14 on the day. Note that the Seeker count is only one strong candle away from an exhaustion signal.

10-day Trin:

The total put/call ratio has recently recorded a climatically bullish reading.

The multi sector daily chart highlights the relative strength of the BTK sector and weakness of the SOX.

The SOX/NDX ratio chart shows the bearish and sustained underperformance of the SOX. If the ratio breaks to a new low then the overall NDX is likely going to tank.

A breakout in the SPX/TLT cross would be bullish for the broad market but the ratio is currently retreating indicating more conservative flows for new money.

NDX/SPX cross is neutral:

The BKX was the top major sector on the day, taking a bounce off the key 8/8 level. Note how the breakout above the March highs is still holding.

The BTK was slightly lower on the day but is still well above the 10ema and looks poised to challenge the 8/8 level.

The OSX was weaker than the broad market:

The XAU suffered a major distribution day off of range high. The trend will turn negative on a close below the 10ema.

Oil:

Gold:

Silver:

The ES was unchanged on the day and we saw no evidence of options unraveling. Be ready for a bias to develop tomorrow after 60mins into the session.

The NQ futures are also in the waiting room for expiration. Note that the Seeker pattern is now 12 days up.

10-day Trin:

The total put/call ratio has recorded a climatic reading and is overbought:

The SOX/NDX cross still looks terrible and is real cause for concern to the NDX longs.

The SPX/TLT took a big hit in favor of bond safety over equity exposure.

The XAU made a new high on the move clearing the 7/8 level. 8/8 is next and also the area of the prior highs.

The BTK extended the run and is driving towards the next overhead at 1593.

The BKX was a little higher on the day and should find support at the 8/8 level on the retest. If that area fails to hold it will be a false breakout and real trouble for the pattern.

The OSX gapped lower and settled right at the 10ema. If we get a settlement below the 10ema the trend will turn short-term negative.

Oil broke hard and settled below all of the major moving averages. The 4/8 level could be a reasonable target.

Gold:

Silver:

The ES treaded water ahead of option expiration Friday. There is nothing new technically and the chart has posted a couple of very small range bars that have worked off the large impulse from last week.

The NQ futures were a little stronger than the broad market and were higher on the day by 4 handles. Note that the Seeker countdown is now 12 days up.

10-Day Trin still has overbought energy:

Total put/call ratio:

Pc

Multi sector daily chart:

The SOX is still relatively weak and a real issue for the broad market.

The XAU was the top gun on the day and made a new high on the move. The next trade-to-target will be the 8/8 level.

The BTK is making new highs on the move and the CCI has more room before it gets terminally overbought.

The SOX was down small and is still trapped below the 8/8 level.

The BKX is setting up for a Seeker sell signal. Keep a close eye on this key indicator.

The OSX was weaker than the broad market and is now 8 days up.

Gold:

Silver:

Oil:

The ES futures lost 5 on the day leaving a topping tail in the chart.

The NQ futures posted an indecisive inside day.

This is the only important development that traders should pay attention to. The 10-day Trin has produced an overbought signal as of last week. It is only the third time that this has happened in 2012.

Multi sector daily chart:

The ES was higher on the day making a new high close on the move. Note that the gap from Tuesday is still open and not yet filled.

The NQ futures were higher by 17 but still have a MACD that is pointing lower. Price closed indecisively right at the 10ema. The major averages were likely waiting on word from the Fed who will communicate any policy changes on Thursday afternoon.

The put/call ratio has a downward bias but has yet to record a climatic close.

Multi sector daily chart:

The SPX bullishly made a new high vs. the defensive TLT which is what one should expect after a new high close in the broad market. There is no divergence here.

The SPX/NDX relative performance chart shows relative weakness in the NDX which is a divergence and needs to reverse for the SPX to follow through.

The BTK was the top gun on the day but since no new high was produced there is nothing new technically.

The OSX was nicely higher on the day and at this point in the cycle should be showing leadership. The static trend line is the key overhead.

The defensive XAU recouped a huge intraday drop and settled just above the open today.

The SOX really lagged all of the indexes and was only higher by one on the day.

Oil:

Gold:

Silver:

The ES gained 4 on the day after trying higher prices but failing which leaves a tall tail on the chart but doesn’t make a classic distribution day. Tuesday’s close keeps the chart above the short-term trend defining 10ema.

The NQ futures were much weaker than the ES all session making for a bifurcated day. Price has settled below the 10ema and not strong market has ever been built on the foundation of a weak NDX.

The 10-day Trin remains neutral making the market neither over bought nor oversold.

Multi sector daily chart:

The SPX actually picked up some relative strength vs. the TLT. This should be surprising and somewhat mitigates the relative weakness in the NDX.

The OSX was the top gun on the day besting all of the other major sectors. This is a new high on the move and has turned all of the moving averages. The next important overhead level is the active static trend line.

The BKX made a marginal new high on the move. Next overhead is the key 8/8 Murrey math level.

The SOX was higher on the day but is still below the 10ema. The 8/8 level continues to be a wall. Note that the MACD is still in a deteriorating buy condition.

The BTK was the weakest major sector on the day but remains above all the key moving averages.

Oil:

Gold:

Silver:

The ES futures remain trapped in the range with no resolution yet. There is nothing new technically.

The NQ’s were slightly lower on the day settling right at the trend defining, or non-defining, 10ema. Note that like the ES futures the MACD is negative and heading lower.

The total put/call ratio took a hit but did not get to the overbought threshold.

Trin is still neutral:

Multi sector daily chart:

The double top in both the SPX and NDX continues to be the sheriff in town and the most important pattern in the major indexes.

The NDX/SPX cross has rallied to near the prior high but has not broken out. If this chart does not breakout to the upside the double top in the cash indicies will make good and take prices lower. Also worth noting is that if the SPX breaks out to a new high and is not confirmed by the NDX/SPX cross chart the breakout in the SPX will likely fail since the NDX would be showing relative weaknes..

The defensive XAU was the top major sector on the day. There is key overhead at the 200dma and 8/8 level on the chart.

The BKX did nothing and is still trapped, ‘nuff said.

The OSX lost a little more gound but is still 9 days down in the Seeker count.

The SOX made a new low close on the move and is now below the 10ema and 200dma. Expect good support at the 50dma if it gets there.

Oil:

Gold:

Silver:

The ES had a wild ride recouping some steep program driven losses mid-day to settle flat on the day. Price has settled 3 times now in the same area so when this range is resolved it should be powerful.

The NQ futures were slightly higher on the day with the same overall pattern as the ES. Price is still consolidating the area of the prior high. Note the key 8/8 level just above those levels.

The 10-day Trin is moving towards the oversold threshold of 1.35+

The total put/call ratio is neutral:

Multi sector daily chart;

The SOX/NDX cross continues to spin its wheels and not gain any traction. Note that the pattern is setting up a reverse H & S.

The BTK was the top gun on the day and cleared the recent trading range. The 8/8 level could be stiff overhead on the first try and may be a point of necessary consolidation.

The BKX remains trapped and is likely the key to getting a resolution to the ES range.

The SOX was weaker than the NDX and broad market today. This is a negative divergence and will hold back the overall NDX until the relative weakness is shaken off.

The OSX was the weakest major index and remains below the 200dma.

Oil:

Gold has broken out and settled above the key 8/8 level. The next overhead will be the +2/8 Murrey math level. Note that the MACD is not yet overbought.

Silver has the same pattern as gold with a little more relative strength due to its higher volatility.

The ES found support at the 10ema and closed unchanged. Keep in mind that changes in trend take time as both the bulls and bears take measure of each other.

The NQ’s showed relative strength gaining 7 on the day which was good enough to match the high close of the move. Keep in mind that the bulls have major overhead at the 8/8 level 2812.50.

The total put/call ratio is climbing but nowhere near climatic.

Multi sector daily chart:

The Dow/gold ratio took a good sized hit which is a defensive development.

The double tops are still in place for both the SPX and NDX.

The defensive XAU was the top gun on the day. This is a new high close on the move and qualifies the higher low.

The OSX was little changed on the day. There is a critical convergence of the 10ema and the 200dma which will quickly turn the chart negative if they are lost.

The SOX was bearishly much weaker than the NDX and broad market. Price settled below the 10ema and a downside follow through will weigh heavily on all the key averages. Be on guard for the MACD to confirm a turn.

Oil:

Gold:

Silver:

Bonds:

The ES lost 2 on the day but there were some notable technical developments to talk about. Price made a new high but closed lower on the day. Also Tuesday’s candle engulfed the prior day’s which makes a better case for the bears. The only lacking ingredient was more volume. Note that the volume was higher than average but not decisive.

The NQ futures posted almost exactly the same day as the ES. The technicals are very similar and the rest of the week will be very important.

At key turning points it’s always useful to take a look at the DIA. This etf is a well traded basket that tracks the performance of the Dow Jones Industrials. At key turning points there is typically a surge in volume that is not always apparent in other trading vehicles. We don’t see one here.

The 10-day trin still has overbought energy:

The put/call ratio still has yet to record a super-climatic reading:

Multi sector daily chart:

The double top remains in place for both the Naz and broad market:

The SOX cross still has not followed through:

Longer-term traders always like to look at the Dow/gold cross. It has been moving in favor of stocks but hasn’t yet broken out. This will be the ULTIMATE buy confirmation.

The BKX continues to bearishly lag the SPX. There has been no higher high in the banks and it is holding back the broad market and keeping the double top in the conversation.

The bulls can point to the relative strength in the Ndx over the Spx. A higher high would be very bullish and a failure at the relative strength retest adds to the bear case.

Guess what, the defensive XAU was the top gun on the day. Surprise! Well, not rally, the XAU tracking GDX was one of our first long ideas and worked. Price closed above the active static trend line and when the June highs are taken out the 200dma and 8/8 Murrey math levels are in play.

The BKX was higher on the day but lost all of its relative strength intraday. Also intraday, the Seeker risk level was tested and it rejected the advance. The sell signal is still active and rallies should be sold until it is broken.

The SOX was exactly flat but did not break the 10ema. The 10ema is the deal breaker for the bulls.

The OSX posted a midrange outside day down:

Oil got stuffed by the 200dma.

Gold:

Silver is attempting a saucer breakout:

The ES was unchanged on the day after recouping an early drop. There is nothing new technically other than the CCI has totally stagnated.

The NQ futures were higher by 4 on the day. The pattern has left price right in the area of the prior March high. Note that the Seeker countdown is still very immature and only 4 days up.

The total put/call ratio is still neutral:

Late last week, the 10-day Trin recorded the first overbought reading since March. If the market should choose to turn down, it has sufficient energy to cover some ground and begin a decent move.

Multi sector daily chart:

The budding reversal in the SOX/NDX cross has lost momentum and taken a bearish turn. A true failure here would be very bearish for the overall NDX.

Both the NDX and SPX are grappling with their prior highs and are double top until they breakout and qualify new highs.

The defensive XAU was the top gun on the day closing right near the static trend line.

The BKX was higher on the day but still has an active Seeker sell signal in place until the risk line is broken.

The BTK treaded water and is showing relative weakness.

The OSX was weak all day and should be showing relative strength at this point in the “revovery”. Price remains above all the major moving averages. The next bull target will be the 7/8 Gann level which is exactly the active static trend line.

The SOX was the last laggard on the day and traded all the way down to one of the key MA’s. If the chart closes below the 10ema the pattern will turn short term negative.

Oil:

Gold:

Silver:

The ES was lower by one on the day but posted a range high distribution candle. This is 8 days up in the Seeker count so a disruption in trend should be expected in the next 48 hours.

The NQ futures were stopped cold by the active static trend line and posted a bearish range high red candle. The first retracement objective will be the rising 10ema.

The total put/call ratio has as downward bias but hasn’t recorded a climatic reading yet.

10-day Trin:

Multi sector daily chart:

The Dow/gold ratio is making slow progress but has yet to make a definitive break in favor of equities over hard the golden hard asset.

The SOX/NDX cross did not follow through on the breakout just yet.

The BKX was flat on the day and hasn’t budged on a closing basis for days. When this range resolves, it should be very powerful.

The OSX was lower on the day and will turn short term negative if it loses the 10ema(blue).

The XAU is barely holding above the 10ema.

The SOX took a big hit and was much weaker than the Naz. The SOX usually leads the Naz and the Naz usually leads the SP.

Oil:

Gold:

Silver:

Copper:

The ES did nothing on the day after recouping a mid day drop. The futures closed exactly unchanged on the day.

The NQ futures were up 7 on the day and was good enough to expand the high close of the rally. Monday, price tested the static trend line intraday but settled below it. This will be the big level on Tuesday.

The P/C ratio is showing nothing notable.

The 10-day Trin remains neutral.

The SOX is gaining relative strength on the multi sector daily chart:

The SOX has broken out in relative strength vs. the NDX and is a key reason that the tech shares have been recently outperforming the broad market. This is a fresh change in trend and had bullish implications for equities overall.

SPX vs. NDX:

The BKX was flat on the day and remains boxed up in the recent range with the Seeker sell signal keeping watch on any price advance.

The BTK is still contained below the key 50dma.

Oil:

Gold:

Silver:

TLT:

The ES continues to grind, adding only one handle to the high close of the move. Settlement was right at the static trend line and this will continue to influence price. The next level that will come into play will be the open gap at 1409.

The NQ futures posted an inside day with a small loss. Price remains contained below the static trend line.

The 10-day Trin is approaching but not yet reading overbought for the market.

Multi sector daily chart shows the recent relative strength in the SOX.

The SOX/NDX cross is very close to a key reversal, stay tuned.

SPX/NDX still bullishly shows relative strength in the NDX.

The SOX was the top main sector on the day but was contained within the prior day’s range.

The BKX was flat on the day, basically mirroring the prior session. Keep in mind that there is still and active Seeker sell signal.

The XAU got stuffed by the 50dma and offered us a nice short trade in the GDX on Wednesday. This is a measuring day so tomorrow’s action will be important.

The BTK was the last laggard on the day and appears to be a source of funds.

Oil:

Silver:

The ES made a new high on the day but is still contained below the active static trend line which was tested intraday. There is little to add here, this is the line in the sand before a retest of the highs.

The NQ futures were higher on the day by 24 and are within shooting distance of the active static trend line.

The 10-day Trin is still around the neutral area.

Multi-sector daily chart:

The SOX/NDX cross made new high on the move and is setting up for a reversal.

The SOX was the top gun on the day making a new high close on the move. Keep in mind that there is an active Seeker buy signal in place.

The XAU closed right at the 50dma and looks ready to take a run at the static trend line.

The OSX matched the high close of the recent range and is poised for a very important brealout.

The BKX also closed at a new high on the move and still has an active Seeker sell signal in place.

Oil:

Gold:

Silver:

Tlt:

Copper:

The ES gained one handle on the day but left a distribution candle at range high. At Tradesight we call this particular setup as camouflage sell signal. This happens when there are two up days followed by an up day that closes BELOW the opening price. This is a notable time for this to develop since it is at range high in the move and below the active static trend line.

There was another notable development today where while the ES was higher all day, so was the VIX. This is a divergence and a warning sign to traders. This usually develops when institutional traders are no longer strong buyers and adding protection to their portfolios.

The NQ futures were higher on the day by 15 showing good relative strength vs. the ES. Note that while the ES posted a camouflage sell signal, the NQ’s did not because the close was above the day’s open. The open gap form June has been closes.

The 10-day Trin remains neutral.

Multi sector daily chart:

The SOX has yet to make the big turn and show relative strength vs. the Naz. The turn is on deck and would be very bullish if it materializes.

The SPX has recently been showing relative strength vs. the BKX which is a problem if it persists.

The defensive XAU was top gun on the day.

The BTK posted an indecisive inside day.

The SOX closed right at the recent high of the range and is staging right at the 200dma.

The OSX was very positive on the day and is consolidating below the recent highs. Note that there are no Seeker bar counts standing in the way of higher price.

The BKX has a Seeker 13 exhaustion signal in place in a very flat pattern. How this develops will be very important for the overall helath of the broad market.

Oil:

Gold:

Silver:

TLT:

The ES lost 4 handles in very indecisive fashion which leaves the mini pattern still boxed up and in need of resolution. The real move after an FOMC decision often comes the day after the announcement so be ready for a breakout of this range on Thursday.

The NQ futures were slightly weaker than the broad market and posted a midrange outside day down. The upward trend channel is still positive and price is retreating from the key 4/8 Murrey math level.

The 10-day Trin is neither overbought nor oversold.

Multi sector daily chart:

The OSX was the top gun on the day.

The SOX was higher on the day but bearishly closed below the opening price.

The BTK was a big loser, closing at a new low on the move. Keep an eye on a close under the 6/8 level.

Oil:

Gold:

Silver:

TLT:

JJC:

There is nothing new technically in the ES because it traded inside the prior day’s range. The futures gained 5 on the day but it means little when range bound. Options unraveling remains to be seen.

The NQ futures were lower on the day but posted a camouflage buy signal by closing above the open. The upward trend channel remains intact.

Nothing doing in the total put/call ratios as it remains neutral.

The 10-day Trin is pretty much in the neutral zone:

Multi sector daily chart:

The SOX/NDX is at the door or a very bullish reversal:

The strength of gold made the Dow/gold ratio take a hit.

The defensive XAU was the top gun on the day not quite recording a key reversal day.

The SOX gapped higher and held it. Keep in mind that there is an active Seeker reversal on the chart:

The BTK posted an inside day.

The BKX had relative strength but is still confined within the general 3 day trading range. Price is on the north side of all but the 10ma.

The OSX was the last laggard of the major indexes. Note that there is still room in the bar count for more upside.

Oil:

Gold:

Silver:

The TLT closed at a new high on the move and disqualified the Seeker sell signal. This instrument appears to be in the blow-off stage which can always run very, very far.

The ES lost 14 on the day which didn’t feel too bad until the prior day’s range was taken out. This left the settlement right at the 50dma with next support at the 200dma.

The NQ futures were lower on the day by 31 which was a parity move with the broad market. Price touched but did not break the key 0/8 support level. Keep in mind that IF the 200dma is lost then so will the 200dma. In all of the pullbacks in the current move price, both settlement and lows have been above the 200dma.

The 10-day Trin has used most of the oversold energy and has retreated to the neutral area.

The total put/call ratio remains neutral:

Multi sector daily chart:

The BKX was the top gun on the day unchanged on the day and right at the 50dma.

The XAU was a good relative performer and did not produce a new low on the move.

The SOX was lower by a small amount and traded inside yesterday’s candle. A break out of the current range should have some punch.

The OSX was weak on the day but was contained within the prior candle, so yet another inside day to be resolved.

The BTK seems to be rolling over. The index was weaker than the broad market and Naz.

Oil:

Gold:

Silver:

The ES lost 15 on the day but managed to post a camouflage buy signal by settling above the open. Price remains in the upward regression channel. The camouflage signal implies that the ES will take out Monday’s high before the low.

The NQ was lower by 34 on the day but like the SP side settled with a camo buy signal with the same implications.

Interestingly the 10-day Trin worked lower on the day but still has oversold energy in it.

The total put/call ratio is neutral.

Multi sector daily chart:

The Sox/Ndx cross has bounced off the lower regression channel and has more room to nit the top and is back to the midpoint of the range. Keep a close eye on a break back above the midpoint which would be the first step for a real reversal.

The weekly Dow/gold cross is very slowly making progress. The ultimate breakout remains the upper regression channel.

The SOX filled the dirty gap and still has an active Seeker exhaustion in place.

The BKX closed right at the 50dma.

The BTK is retreating the overbought 9/8 level. Expect support at the 50dma.

The XAU was the last laggard on the day but did not make a new low on the move. The CCI suggests that the reduced selling pressure could produce a double bottom. Stay tuned.

The TLT put in what could be a very important range high camouflage sell signal. Keep in mind the Seeker sell signal is still active.

Oil:

Gold:

Silver:

The NQ futures were higher on the day by 33 handles easily topping the relative performance from the SP side of the market. Price settled just below the prior high water mark on the move. The next critical overhead that will come into play is the 4/8 Murrey math level.

The ES was higher by 9 on the day and is in a very similar technical condition to the NQ. The Naz has been trailing the SP side so an overall bullish move in the market will need to have the Naz side get involved.

The 10-day Trin still has oversold energy:

Multi sector daily chart:

The Dow/gold ratio is on the verge of a bullish breakout. This means that investors are favoring equities over the defensive alternate asset gold.

The Sox was the top gun on the day making good on the Seeker exhaustion signal put in place yesterday. Keep a list of long ideas handy and be ready to be aggressive on Friday after a measuring day Thursday.

The OSX is approaching the neckline of a reverse H&S pattern. Be patient and wait for it to setup.

The BKX was weak all day and was the big drag on the relative performance of the SP Wednesday. The trend remains positive but note that the CCI is diverging which is a warning for the bulls.

The defensive XAU was the last laggard on the day and is now 9 bars down in the Seeker setup phase. Possible lateral consolidation or bounce in the next couple of trading days should be in the cards.

Oil:

Gold:

Silver:

The ES was higher on the day by 11 which produced a settlement above the Friday and Monday high. Price has made good on a measuring day breakout and is now above all the major moving averages.

The NQ futures lagged the broad market but managed to gain 16 on the day. The one bogey on the chart is that today’s settlement was below the open which makes a camouflage sell signal.

The total put/call ratio remains neutral:

The 10-day Trin still has oversold energy:

Multi sector daily chart:

The Dow/gold ratio is moving closer to upper channel boundary.

The NDX is bearishly losing its relative strength vs. the SPX. This is a chart to watch closely.

The OSX was the top gun on the day and is very close to qualifying the recent higher low. Keep in mind that there is still an active seeker buy signal.

The BTK was a close second to the OSX and is very close to a 52 week breakout. Be sure to have a list of long ideas in this sector.

The SOX made a new low on the move and recorded a Seeker exhaustion buy. Have a list of reversal ideas handy for the rest of the week.

The XAU was the last laggard but did not make a new low on the move.

Oil:

Gold:

Silver:

The ES posted a relatively inside day where a 10 handle gap down was recovered.
Since trade was contained within the prior day’s there is nothing new technically.

The NQ futures were higher by 27 on the day and are just below the key 4/8 midpoint of the Murrey math box.

The 10-day Trin remains loaded with oversold energy and buying power.

The NDX continues to show relative strength vs. the SPX.

The SOX/NDX cross is getting closer to a bullish change in trend. Keep a close eye on this chart for a higher high.

The Dow/gold chart has yet to breakout which would be a huge buy signal for the long term equity bulls.

The OSX was top gun Tuesday making good on the Seeker 13 exhaustion buy signal. A close above the 50dma will get the attention of the media and many closet oil bulls. The next real challenge will be the 4/8 level up at 218.

The weak sensitive XAU could be making a higher low but won’t be qualified until a close above the June high.

The SOX closed above the June high and right at the 200dma. Note that the Seeker still has not yet recorded a buy signal.

The BKX made a new high but unimpressively so. The next important level is the 47 level which is the April low and May breakdown.

Oil:

Gold:

Silver:

The ES gained one handle on the day but left a bearish range high camouflage sell signal on the chart.

Naz was higher by 4 on the day but also bearishly settled below the close.

The 10-day Trin is still in oversold territory with keeps the overall market loaded with oversold energy.

The put/call ratio is still neutral so no signal to be found here.

The Multi sector daily chart shows that the BTK is poised for a relative strength breakout.

The BTK was the top gun on the day, very close to the May highs and the only major sector ready for a legitimate breakout.

The BKX was higher by 0.6% on the day and good enough for a new high on the move. Note that price is now back above all of the major moving averages.

The SOX was lower on the day and still waiting for the Seeker exhaustion buy which must happen at or below the swing low close of the move.

Oil:

Gold:

Silver:

The ES was higher by 10 handles on the day after having enough oversold energy loaded into it. Price remains above the 200dma and on the north side of the 1312.50 level that has dominated the May/June trading to date.

The NQ futures were higher by only 9 which made for a very bifurcated session. A little relative strength in the SP side is not a bad thing for the bulls at this point because of how badly the banks and oil service stocks have been performing in the SPX.

The 10-day Trin still has oversold energy to be released which is a very good cocktail to lift prices higher in light summer volume.

Multi sector daily chart:

The SOX/NDX cross did not make a lower low on this move and has the potential for a higher low. A close above the June high would quality the pattern as having a legitimate higher high in place which would be positive for the NDX and then by extension the SPX.

The HGX housing index is putting in some very positive chart construction. Keep a close eye on the Seeker for a high range buy signal. This would be a very notable development and could lead to a powerful breakout if the May highs are taken out.

The BKX is still trapped under the 50dma and June highs. If the 10 candle of the Seeker setup is taken out the overhead static trend line from May 1 will be in play.

The SOX is very close to a Seeker buy signal. Be patient and have your buy list ready.

The XAU was the last laggard and a source of funds for today’s gains.

Oil has an active Seeker buy signal. A close above the 10ema will begin to turn the momentum.

Gold:

Silver:

The ES was higher by 9 on the day recording a Seeker 13 exhaustion buy using the most aggressive methodology. The Seeker conservative approach will defer an exhaustion buy signal until there is a close below or equal to the June low.

The NQ futures posted an inside day which means there were no new technical developments. An inside day always has some extra power loaded into it when it breaks the range so be ready.

The put/call ratio has retreated back to neutral.

The 10-day Trin is back its normal trading band.

Multi sector daily chart:

The BTK was the top gun on the day and remains boxed up.

The BKX posted an inside day and is still holding above the 4/8 level.

The OSX still has an active Seeker buy signal. Note that this is a possible double bottom.

The SOX was flat on the day.

The XAU was the loser on the day. Price remains above the 0/8 Murrey math level so this could turn into an important retest.

Oil:

Gold:

Silver:

The ES lost 20 handles on the day putting it back to short term negative and well below the two prior highs.

The NQ futures lost 47 on the day and are again short term negative. The 0/8 Gann level is key support and then there is the 200dma below that.

The total put/call ratio is climbing but not yet overbought.

The 10-day Trin is still over sold and loaded with potential reversal energy.

Multi sector daily chart:

The defensive XAU was the top gun on the day and the only sector that was green.

The BTK was lower but held above the important moving averages.

The OSX was a huge loser on the day and settled below the 0/8 Murrey math support level. Keep in mind that it’s not a break until after a follow through day has occurred.

The SOX was the last laggard on the day losing 3.5%. This pattern is now 12 days down into the Seeker countdown.

Oil:

Gold:

Silver:

The ES settled above the 50dma for the first time since April, gaining 10 on the day. The next challenge for the up move will be 1375.

The NQ futures were higher by 25 on the day and settled above the 50dma.

The 10-day Trin has more room to go before recording an overbought reading.

The total put/call ratio is still neutral:

Multi sector daily chart:

The SPX/NDX cross shows that the NDX continues to hold a bullish relative strength advantage.

The OSX cross was the top gun on the day but continues to lag the overall broad market in performance. Note that the Seeker buy countdown is still incomplete.

The BKX was up a full 2$ but is now 9 days up in the Seeker count and below the 50dma.

The SOX had an elusive very positive day. The pattern has nicely gapped above the reverse H&S neckline and a qualified follow through would be very positive for the overall market.

Oil:

Gold:

Silver:

The ES was higher by 3 on the day. This is a marginal new high on the move and leaves price just below the 50dma.

The NQ futures also made a new high on the move breaking above the reverse head and shoulders neckline. The next challenge for the advance will be the 50dma and then the minor 3/8 Murrey math level.

The total put/call ratio is dead neutral:

Our 10-day Trin is also dead neutral:

Multi sector daily chart:

The SOX/NDX is on the verge of a positive turn which would be bullish for the overall market:

The positive turn in the Dow/gold ratio remains elusive and is still negative for the overall market.

The XAU continues to build on its positive construction. This is a new high close on the move.

The SOX has rallied up to the neckline of the reverse H & S pattern.

The OSX continues to struggle and was the last laggard on the day.

Oil:

Gold:

Silver:

The ES remains boxed up and could frustratingly settle the week in the 1312.50 area that has been such a strong draw for many sessions now. The day’s candle was essentially inside the prior days so there is nothing new technically.

Like the SP, the NQ futures remain boxed up and there is nothing new technically. The NQ has a major level at 2500 which is still to the south of trading so the NQ still has relative strength vs. the broad market.

10-day Trin:

The put/call ratio is moving towards over sold but not there yet:

Multi sector daily chart:

The SOX had the opportunity to change its relative weakness trend but didn’t get it done.

The defensive XAU was the top gun on the day with the trend remaining positive and above 2 of the 3 major moving averages.

The BKX was flat on the day which is a small positive but it remains below the 4/8 midpoint.

The SOX was weaker than the Naz but after the session remains boxed up with a potential reverse head and shoulders pattern forming. Stay tuned and keep a close eye on the 380 neckline.

The OSX was horrible and is now 11 days down in the Seeker exhaustion countdown.

Gold appears to be on the cusp of changing trend. A break an follow through the 4/8 level would be very positive.

Silver:

The ES was higher by 19 on the day trading inside the prior day’s large range. This means that there is nothing new technically. This marks the fourth day that price has been consolidating.

The NQ futures were higher by 35 on the cay but are still in a relative range just like the SP side. As you can see so far the futures offered below the 0/8 level has been gobbled up by the bulls.

The total put/call ratio is neutral:

Multi sector daily chart:

The SOX/NDX cross is setup to make a turn but needs to do some more work to turn bullish.

The Dow/gold ratio has yet to make a bullish breakout in favor of stocks over equities.

The NDX was bearishly weaker than the broader SPX:

The BKX continues to bearishly lag the broad market SPX:

The SOX was the strongest sector on the day but remains boxed up. The near-term pattern could be tracing out a head and shoulders bottom.

The BKX was up a full 2% but has yet to really reverse price. Note that the Seeker countdown is 12 days down.

Watch the XAU for a long trade over the 2 day high.

The OSX was higher but unimpressive.

Oil used the -2/8 level for support and could reverse at any time.

Gold:

Silver:

The ES was higher by a full 30 handles. Price broke decisively above the 10ema. It was a relatively easy day to trade because the ES opened just above the upper pressure threshold and never dipped below it.

The NQ futures were higher by 61 on the day which reclaims both the 10ema and the 0/8 Murrey math level.

10-day Trin:

Total put/call ratio:

Multi sector daily chart:

The SOX was higher by 3% making it the strongest Naz sector on the day.

The BKX bearishly lagged the overall market:

Oil:

Gold:

Silver:

The ES was higher on the day gaining 12 handles. Price has come back to interact with the key 200dma which continues to be a draw. The next important area overhead will be the 10ema and the May lows which area approximately the same.

The NQ futures gained 20 on the day and are wedged between 2 of our moving averages. If price continues to wind up in this area it should have a powerful exit.

The SOX is tracing out reversal like action. Getting back above 365 would be the first indication that the bulls have changed the direction of the chart. The bias remains down until the 10ema is reclaimed.

The OSX was stronger than the overall market and is still bearish but above key support at the 0/8 level.

The BKX posted an inside day down is still fairly close to a completing a Seeker buy countdown.

The BTK bounced but is still below the prior breakout level and active static trend line.

The XAU is grinding below the active static trend line and looks ready to go. Price is now back above the 10 and 50dmas. This is the one chart that looks ready to continue.

10-day Tin:

Total put/call ratio:

Multi sector daily chart:

The NDX continues to bullishly keep some relative strength vs. the SPX.

Oil:

Gold:

Silver:

The ES wandered around on the day, expanded the range and settled lower on the day by one handle. This is the second close in a row below the 200dma. Note the important level of support just below at the 0/8 level.

The NQ futures closed right in the middle of Friday’s real body and remain relatively strong vs. the SP side because the 200dma is still below. The 200dma is very key support and will likely be gamed once traded.

10-day Trin remains neutral but climbing.

Total put/call ratio:

Multi sector daily chart:

The defensive XAU was the top gun. Note that the static trend line is a very big level and taking it will turn the chart to intermediate term positive.

The SOX was the strongest Naz sector and is now 8 days down on the Seeker count.

The BTK was unchanged.

The BKX was the weakest major sector on the day and decisively broke below the 200dma. This chart looks bad but us already 10 days down in the seeker count.

Oil

Gold:

Silver:

The ES gapped down (blow the lower pressure threshold) and closed on the low losing 25 on the day. Price is now back below the 10ema and again short-term negative.

The NQ futures were lower by 28 on the day but much stronger than the broad market because of the strength in AAPL which closed up on the day. They sold AAPL pre IPO to buy FB and now are they taking losses in FB and moving back into AAPL? The NQ pattern is tracing out a small bearish rising wedge which should be resolved by the Friday NFP number.

The total put/call ratio came up just short of the climatic level.

Multi sector daily chart:

The BKX is potentially developing relative weakness vs. the SPX which would be a very bearish development if it gets traction.

The Defensive XAU was the top gun eventhough the dollar was very strong.

The BTK was lower on the day but did nothing technically.

The SOX gapped up above the recent range but was rejected and settled right at the top of the range. Price remains bearishly below the 10ema.

The BKX was very weak losing 2.5% on the day and not making good on the close above the 10ema.

The OSX hemorrhaged 4% on the day and was obliterated by the dollar strength. Price has spent a good deal of time, too much time, below the 4/8 level and hs not been able to pivot higher which puts the 0/8 level in play sometime this summer.

Oil collapsed $3 and settled just above the key 0/8 level. Note that the seeker count offers no support right now.

Gold was higher on the day but was inside yesterday’s candle.

Silver:

The ES gapped up and gained 18 on the day. This makes the short term chart positive since it has closed back above the 10ema.

The NQ futures also closed back above the 10ema and turned short term positive. There was some distance from the HOD to the close which is not encouraging to the bulls.

10-day Trin is getting close to the zero baseline.

Multi sector daily chart:

The SOX was strong Tuesday and has turned the relative performance chart for the better. The trend remains down but there is something to build on.

The OSX was the top major index on the day and closed above the 10ema.

The SOX outperformed the NDX but remains boxed up. Price has been consolidating for a number of days here and should move powerfully once the range is resolved.

The BKX performed with the broad market.

The BTK underperformed the market but did settle back above the 10ema.

The XAU was the last laggard on the day and was a source of funds along with FB. Yup, I said it.

Oil:

Gold:

Silver:

The ES is trying to make a turn but while the futures were up on the day they remain below our trend defining 10ema.

The NQ futures put in a better day closing up 5 but they still remain below the 10ema. Note that today’s low was lower than yesterday’s and today’s high was lower than the previous high.

10-day Trin:

Multi sector daily chart:

The NDX had relative strength today but the trend remains bearishly in favor of the SPX.

The XAU was the top gun by a wide margin gaining 4%. The chart is solidly above the 10ema.

The OSX outperformed the broad market and is very close to going short-term positive.

The BKX posted and indecisive inside day.

The SOX did very little after sweeping to a new low on the move.

Oil:

Gold:

Silver:

The ES posted the measuring day that we were looking for. Price tested the 10ema, retreated and ultimately settled down 1 on the day. Wednesday is the important day to see if the bulls can build on Monday’s reversal candle.

The NQ futures posted exactly the same day with a slightly weaker close. The bulls will point to today’s range not breaking into the lower half of Monday’s range. The 10ema is the important level near-term.

The 10-day Trin still has over sold energy:

Multi sector daily chart:

The SOX/NDX cross continues to bearishly record lower lows. This has been a problem for the overall NDX and will continue to weigh on the market perhaps until we get closer to the release of MS Windows 8.

SPX vs. NDX relative chart shows that the NDX is hanging onto a very slight margin of relative strength in the daily time frame.

The BKX was the top gun on the day closing higher by a full percent.

The BTK was lower on the day and should continue to find resistance at 1500.

Like the broad market the OSX hit the 10ema and failed.

The SOX was awful and the news from DELL won’t help tomorrow. Keep in mind that the chart is in the Gann oversold territory.

Oil:

Gold:

Silver:

The ES took a turn for the better rallying 25 full handles on a fist day up. Note that price is still below the short term trend defining 10ema so expect a measuring day tomorrow.

The NQ futures were higher by 75 and still have oversold energy for more upside. Target the 10ema for starters and then the 5/8 level which was the April low.

The 10-day Trin has retreated to neutral territory but still has energy loaded in it for more upside.

The total put/call ratio recorded a climatically bearish reading late last week which is loaded the market with reversal potential.

Multi sector daily chart:

The SOX/NDX cross continues to bearishly bleed.

The OSX was the top gun on the day up almost 4% so expect a measuring day. If price continues higher after the pause then the 10ema and 4/8 level will come into play.

The XAU was also up big and since price closed back above the 10ema it is now in a short term up trend.

The BTK was stronger than the Naz but it doesn’t have the oversold energy that the other indexes have. Expect stiff resistance at the 8/8 level.

The SOX bearishly lagged the performance of the overall Naz. Expect failure at the lower trend channel.

The BKX was the last laggard and is still technically broken.

Oil:

Gold:

Silver:

The ES made a new low on the move losing 6 on the day. Next support is the 2/8 Gann level.

The NQ futures broke to new lows losing 21 on the day. Both the ES and NQ have down side CPS candles from today’s session.

10-day Trin:

The total put/call ratio now has a climatic spike in place:

Multi sector daily chart:

The XAU was the top gun on the day and the only major sector up on the day. The eSignal below is wrong as they often are.

The BTK was relatively strong and is still glued to the 8/8 level.

The OSX made a new low and is hovering just above the critical -2/8 level. Keep in mind that a frame shift would be very bearish.

The BKX continues to retreat and should find important support at the 4/8 level just below 44.

The SOX settled below the 200dma and also the lower channel boundary. The pattern is just now 9 days down so there could be some lateral or retracement activity soon.

Oil:

Gold:

Silver

The ES lost 6 handles on the day making a new low on the move and a new low close. Note that the Seeker count is now 9 days down.

The NQ futures were also down on the day though were relatively strong vs. the broad market. Price did make a new low on the move but the pattern is finally 9 days down.

The 10-day Trin has matched the most oversold reading of the year to date.

The total put/call ratio has yet to record a climatic close.

Multi sector daily chart:

The NDX/SPX cross ratio chart shows that the NDX bullishly still has relative strength vs. the SPX.

The BTK was the top gun on the day and is still controlled by the 8/8 level.

The BKX closed just below critical support which doesn’t quite yet qualify as a break of the static trend line.

The SOX is 9 days down into a super key area of support.

The OSX is moving deeper into oversold territory. Keep a close eye on the -2/8 level which is the last line of defense before a frame shift.

Oil:

Gold:

Silver:

The ES lost 16 handles on the day making a new low on the move. Price undercut the key 2 bar island made in early March and has qualified the lower high set in late April. The Seeker count is now 8 days down so the broad market could see a bounce later this week.

The NQ futures made a new low close on the move. Price is below all the important major moving averages and is in a short-term down trend. Like the ES, the NQ futures are 8 days down so either a lateral move or bounce is on deck. Note how the early March lows are key support.

The 10-day Trin is still hovering around the oversold threshold.

The total put/call ratio remains neutral.

Multi sector daily chart:

All of the major moving averages were red on the day with the BTK being the strongest. It was in insicde day but net another accumulation session with price closing above the open.

The short term oversold SOX was stronger than the broad market one the day. Keep a close eye on the 200dma and the lower trend channel which together are key support.

The OSX made a new low on the move and is now 9 days down on the Seeker count.

The BKX was hit hard and much weaker than the broad market. The pattern is now 9 days down and just above key support at the static trend line.

The XAU recorded its first close below the Seeker risk level. A new intraday low would nullify the buy signal though it’s unlikely in the next 48 hours because of the new 9 bar setup that just completed.

Oil:

Gold is 9 days down:

Silver is also 9 days down:

The ES closed right at the key 1352 level which was the intraday low form April. The bullish development was that even though price was lower on the day the close was above the open.

The NQ futures were little changed on the day but closed well above the open. Price was contained within the prior day’s range and the breakout should have some extra punch.

Total put/call ratio:

10-day NYSE Trin:

Multi sector daily chart:

The SOX/NDX cross is hanging on by a thread, see below.

The XAU tested the risk level of the Seeker buy signal and was saved by it. Keep a close eye on this sector the rest of the week and look for reversal setups.

The SOX tested and held above the key 200dma. Keep in mind that this also maintains price above the lower channel boundary.

The BTK posted a relatively narrow inside day.

The OSX continues to trace out some bottoming tails on the daily chart and closing at a 3 day high will kick in some short covering.

The BKX was the weakest major sector on the day. Price settled below the recent range and continuation will put the static trend line in play.

Oil:

Gold:

Silver:

The ES lost 7 handles on the day after trading at some key price. On the chart you will see the prior low close at 1357 and the prior intraday low at 1352. Both prices traded but the ES managed to close above both of those levels. Once those levels are penetrated the potential lower high on the chart will be confirmed. Until this confirmation occurs the short term trend is frustratingly lateral. Note that Tuesday’s candle was a camouflage buy signal.

The NQ futures lost 14 on the day and also recorded a camouflage buy signal.

The 10-day Trin is close to but just below the oversold threshold.

The total put/call ratio remains neutral.

The multi sector daily chart shows the XAU continues to bleed.

The SOX/NDX cross matched its low close but did not break futher.

The decline in gold pushed the Dow/gold ratio to a new high in favor of stocks over gold.

The BTK was again the top gun on the day but did not record a new high on the move.

The OSX has posted two days in a row that have put some very interesting bottoming tails on the candles.

The BKX remains boxed up and is using the same key level for support. Don’t forget the bullish triangle that is being traced out.

The XAU was the last laggard on the day. The Seeker buy signal is hanging on by a thread. Price has penetrated the risk level but not yet broken it.

Oil:

Gold:

Silver:

The ES gapped down opening at the active static trend line then rallied up to close high on the day by 3 handels. Keep in mind that while the bulls saved the one day, price remained in the lower half of Friday’s down candle.

The NQ futures posted a similar session. The big break remains on the chart with a lower high on the chart. Price is bearishly below the 10 and 50 period moving averages.

10-day Trin:

The put/call ratio remains neutral.

Multi sector daily chart:

The SOX/NDX cross is near the prior low showing weakness in the SOX. A break to new lows would be very bearish for the overall NDX.

The OSX continues its bearish posture and is weighing down the underlying crude futures. This is a classic bearish condition for oil.

The one small positive is that the BKX is holding onto its relative strength vs. the SPX.

The BKX was relatively strong on the day up almost 1%. The February highs have been providing strong support and the daily chart is forming a bullish declining wedge formation.

The SOX was weak on the day using the prior low for support. This chart still could decline to the lower trend channel.

The XAU matched the old low but didn’t break. Be careful that this isn’t just a measuring day that gives way to further downside continuation.

The OSX was the last laggard on the day and broke key support by closing under the static trend line. The next important level is the 4/8 and then the YTD lows. This is not what the bulls want to see because there is typically a bid under energy stocks when a recovery is underway and has teeth.

Oil:

Gold:

Silver:

The ES did little on the day shaking off a disappointing ADP number. This left the chart with loss of 3 handles on day but in a subtly positive fashion, the day’s close was above the open.

The NQ futures were high by 9 on the day and bullishly remain above all of the major moving averages. Friday’s non-farm payroll number will the week’s arbiter. This leaves Thursday’s trade as kind of a jump ball.

Total put/call ratio is moving lower but not yet climatic:

10-day NYSE Trin:

Multi sector daily chart:

The NDX/SPX cross ratio chart is still holding above the key breakout level. This should be revisited early next week after the NFP release.

The SOX/NDX cross remains below the breakdown level.

The BTK was the top gun on the day and essentially closed at the 8/8 level which is the first price hurdle after the breakout.

The SOX closed at one week high but still remains below the 50dma.

The BKX was lower by a full percent on the day but there were no new technical developments.

The OSX should be monitored closely here. A breakout of the range that has been defined by the 50 and 200dma’s should be very powerful.

The XAU was the last laggard on the day. Keep in mind that the Seeker exhaustion signal is still in place and has yet to release its energy.

Oil, note there is a Seeker 13 exhaustion on deck:

Gold:

Silver:

The ES gapped higher and closed at the HOD gaining 17. Price has advanced to the high of the recent range and also the recent breakdown level and gap window.

The NQ futures were much stronger than the ES on the day exploding higher by 72 and leaving a small 2 candle island below. Note that price is now back above all the important moving averages.

10-day NYSE Trin:

Multi sector daily chart:

The SOX/NDX cross bearishly made a new low on the move:

The NDX is showing very good relative strength and building on it would be very bullish for the overall market.

The SOX was strong on the day but underperformed the overall NDX.

The BTK continues to print new highs and is unencumbered by the Seeker count.

The OSX has rallied to key resistance and a potential short-term breakout level.

The BKX jumped over the 10ema but was weaker than the broad market. Price is still holding above the 50 and 200 period moving averages.

The XAU is trying to make the turn. There is a ton of room for the next upward impulse.

Oil:

Gold:

Silver:

The ES made good on the camouflage buy signal in place from yesterday’s trade to gain 7 on the day. Earnings releases will likely continue to drive price and keep things gappy.

The NQ futures were lower by 17 on the day which continues with the relative weakness theme. Price settled right at the key static trend line. If this level is lost then the downside momentum will really accelerate and the 4/8 Murrey math level will come into play.

10-day Trin is back to the neutral level at 1.00:

Multi sector daily chart:

The SOX/NDX cross made a new low on the move. The AAPL earnings will likely have a vote as to the near term direction of this ratio.

The BKX was the top major sector on the day. A close above the 10ema would turn the chart back to short term positive.

The OSX is trying to make a turn here. Keep an eye on the old DTL.

The BTK made a new high on the move settling right at the 7/8 level. Note that the Seeker count is only 3 days up.

The XAU still has a fresh 13 buy signal. Monday’s action was inside the prior day’s candle so be sure to set an alarm for a break over Friday’s high and have some long ideas ready to go after the FOMC announcement.

The SOX was the last laggard on the day making a new low close on the move. The next important level of support is the 200dma at 387.

Oil:

Gold:

Silver:

The ES gapped down huge on the day and really did very little with one small exception. The exception was that price closed above the open which makes for a camouflage buy signal. This puts Monday’s gap fill in play. Price was lower 13 on the day using the active static trend line as support. The market did one other important thing by filling the open gap at 1356.75.

The NQ futures were lower by 24 on the day. Price is pinching between the 10eama and the 50dma. Momentum is picking up as confirmed by the break below the zero line of the MACD. The next area of support is the static trend line.

10-day Trin:

The put/call ratio is neutral:

Multi sector daily chart:

The SOX/NDX cross has bearishly recorded a new low close:

The best sector on the day was the BTK which is still holding above the recent gap.

The OSX used the static trend line for support as should be expected. Traders should view the chart as short term neutral with oversold energy for a bounce until there is a close below the STL.

The BKX was slightly stronger than the broad market using the 50dma for support. The MACD is still above the zero line. A break below the zero line will kick in a wave of momentum selling.

The SOX gapped lower and continues to be a problem the overall NDX. Next real support is at 390.

The XAU closed at a new low and is now 13 days down in the daily Seeker count. Be sure to look at this index for reversal opportunities.

Oil:

Gold:

Silver:

The ES was lower by 5 posting an inside day on the day. This means that there was technically nothing new on the day.

The NQ futures also posted an inside day losing 18 doing so. This was a classic measuring day where the market worked off yesterday’s strong upward impulse.

Multi sector daily chart:

The SOX/NDX cross is still below the key breakdown level which is bearish for the overall NDX.

The OSX was the top gun on the day and closed higher by a small margin on the day. The bad news is that price remains below all of the major moving averages.

The BKX remains trapped within the recent trading range.

The XAU posted an inside day.

The SOX remains below all 3 major moving averages with an active Seeker sell signal in place.

The BTK has yet to release any of the energy from the 9 days down.

Oil:

Gold:

Silver:

The ES was higher by 19 on the day, possibly beginning the “B” wave bounce. This is a key pivot off 9 bars down on the Seeker but does not necessarily mean that the all clear signal has been sounded.

The NQ futures were higher by 49 handles settling just below the 10ema. The 50dma is still providing support.

10-day Trin:

Multi sector daily chart:

The OSX was top gun using the static trend line for support:

The BKX was stronger than the broad market but remains trapped in the recent range. Note how what were the weakest stocks were the strongest on the day. This is very typical of the first day up in a reflex rally.

The SOX was nicely higher on the day but for the time remains below the key 50dma. Keep a close eye on the gap window overhead which will be stiff resistance.

The XAU traded inside yesterday’s candle. The Seeker count is has yet to record the exhaustion signal.

Oil:

Gold:

Silver:

The ES broke hard, losing 18 on the day with price settling around the active static trend line. Price is now below the 50dma for the first time in 2012. Keep a close eye on the MACD which has now turned negative. A break below the zero line would get momentum rolling down in the intermediate time frame.

The NQ futures were lower by 31 on the day but they continue to maintain their relative strength vs. the ES. The NQ’s have broken decisively below the 10ema but its relative strength is keeping it above the 50dma. It’s really up to AAPL. The relative strength in AAPL has buoyed the overall NDX but the soldiers are falling. Tuesday PCLN posted a range high outside day down but AAPL did not. It’s really turning into an NBA index—nothing but Apple. If AAPL breaks, then the NDX is done.

10-day Trin:

Total put/call ratio:

Multi sector daily chart:

The defensive XAU was the top gun for the second day in a row and was the only major index that was positive on the day.

The SOX broke below the static trend line with next support at the midpoint of the trend channel.

The OSX used the static trend line for support. Price is now below all of the major moving averages.

The BKX was weaker than the broad market. Key support is just below where the 50dma converges with the February highs.

The BTK was the last laggard on the day losing more than 2.5%. The double top is in place for lower prices. The next area of support is the static trend line.

Oil:

Gold:

Silver:

The ES gapped down below the lower pressure threshold and could not recover. Price lost 15 on the day and settled below the 10ema.

The NQ futures broke below the recent range and decisively settled below the trend defining 10ema. A follow through day would turn the chart short-term negative.

Multi sector daily chart:

The SOX/NDX cross bearishly made a new low on the move which has negative implications for the overall NDX.

The OSX was the best performing sector on the day managing to hover above the real breakdown level below the March lows.

The BTK still has the potential for a nasty double top.

The BKX tested but did not break the recent range lows. A break under the range low would be very bearish and kick in some profit taking momentum.

The SOX is picking up downside momentum and is now below the 10ema and 50sma. The next important target is the active static trend line.

The XAU was no defensive stronghold for the bulls and made a new low on the move. The chart is in the oversold area closing below the -1/8 Murrey math level.

Oil:

Gold:

Silver:

The ES was lower on the day by 3 handles but was contained by the previous day’s range which means there was no new technical development until price breaks the two day range.

The NQ futures were relatively strong all day gaining 2 points lead by the strength in AAPL. However, even though the futures were higher on the day, internally the market was weak with a net 1k issues lower on the day. Poor internals and bad breadth are often signs of an impending change in trend.

Multi sector daily chart:

The SOX/NDX cross is very close to a breakdown. A leg down would have very bearish implications for the overall NDX.

The BTK was the top gun on the day but did not make a new high on the move.

The BKX was little changed and remains boxed up at the 8/8 level.

The OSX is trapped between the 50 and 200dmas, when price resolves this area it should move nicely.

The SOX was the weakest NDX sector on the day and the relative weakness must stop here. The Seeker sell signal is still acive.

The XAU was by far the weakest sector on the day and the bottom fishers were frustrated by the chart making a new low on the move.

Gold waterfalled lower after the release of the FOMC minutes and didn’t recover.

Silver:

Oil:

The ES lost 6 handles on the day and filled the open gap in the process which crosses this off the to-do list. Thursday is the day before the end of the month and more importantly the end of the quarter which is the cue for window dressing. Be flexible and respect a return to the dominant upside bias.

The NQ futures were again relatively strong vs. the ES only losing 7 on the day. The 8/8 Murrey math level is just over head and both a draw and strong resistance if reached.

Multi sector daily chart:

The SOX is still relatively weak vs. the NDX and is still a cause for concern for the bulls.

The BTK was the top gun on the day but registered a camouflage sell signal below the high of the move.

The BKX closed right at the 8/8 level showing relative strength but didn’t make a new high on the move. A new high here on Thursday could well be a false move on window dressing so beware.

The OSX bearishly close below the 200dma and a close below Wednesday’s low would qualify the breakdown.

The SOX was much weaker then the broad market and NDX. The Seeker sell signal is still active.

The XAU was the last laggard and closed at a new low. This should not be surprising since it’s the weakest sector of the quarter.

Oil:

Gold:

Silver:

The ES was lower on the day by 8 handles and was totally controlled by yesterday’s range. This leaves an inside day on the chart which works off a tiny bit of the overbought energy in the pattern.

The NQ futures were again relatively strong vs. the SP side. The Naz futures were lower by only 1 point on the day. Price did make a new intraday high on the move so there is no question that this was a range high distribution day. The end of month chicanery is about to start so be prepared for some more volatility.

10-day Trin:

Multi sector daily chart:

The SOX continues to struggle vs. the overall NDX:

The NDX still has good relative strength vs. the SPX:

The most notable intermarket divergence continues to be the OSX which bearishly lags crude futures.

The SOX was unchanged on the day almost touching the risk level from the Seeker sell signal.

The BTK traded inside yesterday’s range.

The BKX was lower on the day and weaker than the broad market. Possible signs of fatigue but be sure to allow for end of quarter nonsense in the sectors that have been attracting money.

The OSX was again the last laggard and is just above the very key support area of the 200dma.

Oil:

Gold:

Silver:

The ES gained 4 handles on the day after recouping a gap down that tested the 10ema. The 10eam has been the defining level since the breakaway gap on the first trading day of the year. Keep a close eye on the 8/8 level just overhead.

The NQ futures were higher on the day by 6 making both a new high and new high close on the move. Price is extended and the MACD is starting to top off. Mind the 10ema which has defined the trend.

The 10-day Trin is still in the neutral range:

Multi sector daily chart:

The NDX/SPX cross has not made a new high to confirm the new high in the broad market. If it doesn’t happen in the next 48 hours it will be a notable divergence.

The BKX was the top gun on the day but did not make a new high on the move. Intermediate trends tend to mature when leaders take pause and laggards outperform.

The SOX has a Seeker 13 exhaustion signal in place and hit but retreated from the 8/8 level. Keep a close eye on how the MACD behaves. This move may be mature and ready for a test of the midpoint of the regression channel.

The OSX was weaker than the broad market and is still in the Murrey math overbought territory.

Watch the BTK closely for a break under last week’s low. This was the leading sector and may be ready for a test of the static trend line. The chart pattern has a strong 9-13-9 Seeker setup.

Oil was lower on the day, backing off range high levels.

Gold remains in the overbought area of +1/8:

The ES was higher by 8 on the day which is technically very significant. This will produce the final candle of the active 9 bar Seeker setup. In so doing it will recycle the countdown and defer it to the newly completed setup.

The NQ futures made a new high on the move by gaining 19 on the day. The Seeker sell signal is still active until the risk level is broken. Keep a close eye on the +1/8 overbought level.

The 10-day Trin remains above the overbought threshold of 0.85.

Multi sector daily chart shows that the XAU continues to be a source of funds.

This is the important chart for the next couple of days. The total put/call ratio recorded a climatically low reading. The market will typically have a violent selling episode in the next 1-3 trading day. Once it begins and the intraday market internals confirm play the short side only and avoid buying the breaks which will be treacherous.

The OSX has begun to underperform the underlying oil futures. If oil breaks to the downside there could be limited support until more meaningful levels are traded.

The BTK was the top sector on the day but beware that it may only be a bounce. Keep a close eye on the MACD which is now rolling over.

The BKX was stronger than the broad market. But remains overbought with a Seeker count that is 8 days up.

The OSX is still gaming the upper boundary of the active pattern. Price remains below the 8/8 level.

The SOX underperformed the NAZ which is cause for concern. Be on guard for the breadth narrowing in the NDX where mumbles like AAPL are asked to do too much to hold up the advance. The MACD continues to deteriorate.

Oil:

Gold:

The ES recouped a steep midday loss to close up on the day by 2 handles. The pattern is now 11 days up and has major overhead at the 1375 level.

The NQ futures were higher by 15 handles and are now have an active Seeker 13 exhaustion signal in place. Watch the MACD closely for a crossover.

Multi sector daily chart:

The 10-day Trin is still in the neutral zone.

The NDX was relatively strong vs. the SPX which is a healthy sign and has yet to produce that leading divergence that always kills an advance.

The OSX is working on a positive cross of the crude futures which will pull crude futures higher if it follows through.

The SOX was the top gun on the day and recorded a new high on the move.

The BKX was stronger than the market and made a new high on the move. Keep in mind that price is in the overbought Gann area.

The XAU remains trapped between the major moving averages and has been a source of funds.

The OSX remains on the verge of a major breakout or failure. A few more bars are required for confirmation.

Oil:

Gold:

The ES was higher by 11 on the day but did not make a new high on the move. The active static trend line is still repelling the advance. Price remains bullishly above the 10ema with possible a closer test as traders may take a little off the table before Friday’s payroll number.

The NQ futures were up 23 on the session marking a new high for the move. Keep a close eye on the 8/8 level just overhead. Note that the MACD is still positive.

Multi sector daily chart:

The 10-day Trin remains in the neutral zone.

Checking in on the put/call ratio reveals that is has not yet recorded a climatic reading in this advance.

The BTK was the top gun on the day and in so doing exceeded the Seeker risk level. If any print is higher than Wednesday’s high by one tick then the risk level will be broken and the sell signal invalidated.

The SOX was stronger than the Naz and broad market getting close again to the upper channel. The MACD is still negative.

The BKX was higher on the day moving back towards the 8/8 level. Price is still trapped in the consolidation range.

The OSX closed right at the 200dma and also recorded a new high close on the move. This pattern feels like it wants to release in the next 48 hours.

The XAU was the last laggard and is wound up with energy for a move away from the 200dma.

Oil has moved back down to the low of the recent range. A breakdown would likely be bearish for the overall market.

Gold made a new high on the move.

The ES broke to new highs and accomplished a couple of very important technical points. The static trend line was traded and more importantly the gap from late July that was the origin of the summer break was filled Wednesday. Price is up, price is high but our technical indicators suggest more buying pressure needs to be applied before classic overbought readings are recorded.

The NQ futures recorded a new high on the move and have the 8/8 level in its sights.

The weekly NQ futures have come into a very key area. This is the price were the Seeker sell signal’s risk level resides. The risk level will be broken if it is exceeded on a closing basis and then continues higher by at least one tick on a subsequent bar. This has very big implications for the longer term.

The 10-day Trin is moving lower but still not over bought.

Multi sector daily chart:

The NDX is bullishly leading the SPX:

The XAU exploded higher after the Fed made it clear that they will add liquidity indefinitely.

The BTK settled right below the 10/8 level, jump roping above the consolidation. The pattern is now 12 days up.

The OSX outperformed the broad market but is still contained within the boundary of the downtrend.

The SOX posted a disappointing session, lagging the market. Price is still consolidating last week’s surge and below the upper channel.

The BKX is still contained by the current trading range. Keep a close eye on the levels.

The EURO had a very strong session and is close to a key area where some important work will have to be done. This is the level where the October low and 50dma converge. 1.3200 will be a very key area.

Oil is still gaming the 8/8 level:

Gold settled right at the active DTL with price back above all the major moving averages again. Note that the MACD is close to a bullish cross.

The ES did nothing on the day, and we now have recorded 4 closes that are almost unchanged. This loads the pattern with power for a move after the FOMC decision and press conference Wednesday.

The NQ futures also remain boxed up and loaded with energy. The move away from this area should be decisive when it happens. Technically Tuesday’s close was a new high on the move and right up against the May and July highs.

The 10-day Trin has yet to record an overbought reading.

Multi sector daily chart:

The BTK continues to stage just below the 200dma and 8/8 level. The next overhead is 1281 which will likely also produce a Seeker exhaustion. This is going to be interesting.

The SOX traded inside yesterday’s range so there’s nothing new technically.

The BKX was unchanged and is still above all of the major moving averages. A break away from the consolidation under the 8/8 level should be very powerful.

The XAU was a source of funds and the last laggard on the day. Index member NEM recorded a new year to date low.

Oil:

Gold:

The ES posted a wide ranging day where price settled glued to the key 1312.50 level. Keep in mind that the active static trend line just overhead. Monday was the first day of the new options cycle and there is a two day fed meeting beginning on Tuesday so while there was little overall price bias expect one to develop by midweek.

The NQ futures made a new high on the move but left a wide range doji on the chart. Price has not been able to do much with the break over the July highs.

The 10-day Trin still has not yet recorded an overbought reading of 0.85 or lower.

The multi sector daily chart shows the good relative strength of the SOX.

The XAU was the top performer of the day reclaiming the 10ema.

The XOI was much stronger than the broad market with good relative strength in the gas stocks. Keep a close eye on the risk level of the active Seeker sell signal.

The BKX remains boxed up and below the 8/8 level.

The SOX settled within the prior day’s real candle body. Higher prices, near the upper trend channel, were recorded but rejected. Note there is a good deal of room between the close and the 10ema for a large pullback.

The BTK was one of the worst laggards. The Seeker count remains 11 days up.

Oil:

Gold:

The ES posted a range high distribution candle. Price was little changed on the day after a strong opening gap. This is a camouflage sell signal which is particularly concerning to the bulls since it’s at the high water mark of the rally that started last year.

The NQ futures posted a wide range doji. Price remains below the static trend line set back in July. The market was bifurcated with strength in the NQ vs. ES so watch this relationship carefully on Wednesday.

The 10-day Trin has come in substantially but has yet to hit an overbought reading of 0.85 or less.

Multi sector daily chart:

The NDX has yet to confirm the higher high in the SPX. A confirmation of this would be very positive for the overall market and failure would be a divergence in this new school Dow theory pair.

The OSX has yet to get in gear with the higher crude prices which implies that there is still a pretty hefty premium in the futures.

The XOI was the top gun on the day but remains trapped in the bearish rising wedge pattern.

The OIH was positive on the day and had relative strength vs. the broad market. The active static trend line is the current resistance level.

The BTK was unchanged on the day after touching the 200dma. This is a very important level of resistance where the 200dma converges with the 8/8 Gann level.

The BKX interacted with the 8/8 level and didn’t fare well. Initial support will be at the rising 10ema.

The XAU was the last laggard on the day and remains in a very wide ranging down trend.

The ES was higher by 2 handles on the day after recouping a gap down. Price is still contained within the range to date high so range was not expanded. The pattern is now 7 days up.

The NQ futures were higher by 3 on the day with nothing new technically because it was in inside day. Price did settle above the open but it means very little when it’s an inside candle.

The 10-day Trin took a hit but remains overbought.

Multi sector daily chart:

The BTK was the top gun on the day, breaking to a new multi month high. Expect very strong resistance where the 200dma converges with the 8/8 Gann level.

The banks continue to show relative strength settling above the 200dma. Keep in mind that a gaming of the 200dma could still be in the cards. The 8/8 Gann level is just overhead.

The XAU continues its recovery. Watch the DTL that has been added to the chart.

The SOX posted an inside day just below the 200dma. The pattern is now 7 day up.

The OSX was the last laggard on the day losing more than 1%. Please not the active trend channel added to the chart.

Oil:

Gold:

The ES gained 10 handles on the session making a new high and high close on the move. The problem with the day was that settlement was below the open which leaves a bearish camouflage sell signal on the chart.

The NQ futures were higher by 17 on the day, also settling below the open. In this case while the candle by itself is bearish, it is not a camouflage sell signal because the prior day was a down day. Note the relative weakness in the NQ—more on this below.

In the multi chart below note how the NDX is still well below the Q4 high while the SPX has recorded a new high. This is a bearish divergence because in a typical healthy advance, the NDX will lead.

Multi sector daily chart of key indexes:

The 10-day Trin remains overbought:

The OSX was the top gun on the day, nicely breaking above the 50dma. The next important level is the active static trend line.

The BTK continues to outperform the broad market. Expect resistance at the 7/8 Gann level which stopped the advance in late October.

The XAU was up about 2% but remains below all the major moving averages.

The BKX broke above the Q4 high and can finally be qualified as having positive construction. Expect some gaming and resistance around the 200dma and then the real truth will be revealed.

The SOX touched the 200dma but remains relatively weak. It lagged the Naz today and still needs to better the October high to qualify the potential higher low set in Q4.

Oil:

Gold:

The ES gained 20 handles on the day all of which came on the weekend gap. Keep in mind that there was one negative feature to the day’s action because the futures settled below the open. Not really an impressive performance with triple inside candles last week.

The NQ futures were higher by 42 on the day making all of the gain on the opening gap. Note that price has jumped above all the major moving averages but remains contained within the broader triangle pattern.

The cash VIX is in a well defined downtrend. Target the 0/8 Gann level for key support.

The SOX closed near the low of the day and remains below the 50dma.

The OSX was one of the strongest sectors on the day, closing right at the 50dma and the 4/8 Gann level. Keep in mind that the Seeker 13 exhaustion signal is still active.

The BKX showed relative strength and closed right at the 8/8 level. Expect real resistance at the +2/8 level.

The BTK is now 9 days up in the seeker count. Note the proximity of the 8/8 level.

Oil exploded higher and closed at a multi month high. This is a fresh price flip on the Seeker.

Gold was much stronger on the day, fueled by the weaker dollar. The next major level is the 4/8 Gann level.

The ES reversed and posted a first day down losing 16 on the day. Below is a clean chart to better see the failure at the upper boundary of the triangle..

NQ futures lost 25 on the day which puts it bearishly below all of the major moving averages again. The near-term DTL was never broken and is now pressuring price. 4/8 is the key area nearby at 2250 which is next support.

Multi sector daily chart:

The Dow/gold ratio could be ready to make a move:

BTK was a place to hide and top gun on the day and actually registered an inside candle. Watch this sector tomorrow for the real break.

The SOX was down 1.4% and will be below all major and minor moving averages if the 10ema is lost. Note the DTL that was added to the chart.

The BKX is trying to hang onto the triangle breakout. Price remains on the north side of the 50dma.

The OSX was very weak and remains below the 38% fib. The 13 Seeker signal will look very ominous if the Dec. low is taken out.

Oil settled below 100:

Gold make a new low on the move and a new low close. The Gann box is very close to a bearish frame shift down.

The ES was a wild ride, ultimately squeaking out a fractional gain. Note the large triangle that price is tracing out. Key overhead remains at 1250 where the 8/8 level sits.

NQ futures got hit very hard and didn’t recover nearly as well as the broad market side. Price remains below the active DTL.

The performance divergence between the SPX and NDX is very important because the NASDAQ stocks usually lead the broad market SPX. Be sure to reevaluate this relationship next week after the dust settles.

The SOX is also lagging the NDX which is usually an overall bearish condition.

The BKX was top gun on the day, unencumbered by weakness in tech. Keep a close eye on the upper DTL in the triangle pattern.

The OSX was higher and held above the midpoint of yesterday’s range which is a short term sign of strength. Use the 50dma for the near-term bounce target off the Seeker 9 bar run.

The BTK should be monitored for long opportunities off the Seeker 13 buy signal. Use the active static trend line for an initial price objective.

The SOX tested yesterday’s low and held. The pattern is still very sloppy.

Gold tried higher price but was rejected settling below the 0/8 Gann level and 200dma.

Oil has kept its relative strength. Watch the 8/8 Gann level very closely for a breakout/resistance level.

The ES exploded higher, opening above the upper gap fill threshold, then adding on more and closing at the HOD. This is a price flip on the chart and relieves a good deal of the oversold energy. If the move continues higher the next level is the 1250 area.

The NQ futures were higher by 54 on the day. This blast was fueled by 1300+ stocks that after Monday were 8 days down. This price flip caused many of the stocks to also flip so there are only 229 of the 1300 stocks 9 days down. A near-term DTL has been added to the chart.

Multi sector daily chart:

The 10-day Trin recorded a very low close today at 0.17 but the average is still in oversold territory.

The beaten down XBD was the top gun on the day up 6%. Price is still below the primary DTL (red) but a close and follow through would be a trend changer.

The OSX also greatly outperformed the broad market. 220 is the next overhead challenge.

The SOX outperformed the NDX but is still within the sloppy range. This bounce will turn much more important if the 4/8 375 level is taken out.

The BKX is likely the key piece of the puzzle. The banks regaining some kind of positive footing would be a game changer for the broad market. Note the pattern within the pattern. A break out of the triangle should lead to a retest of the lateral boundary 33-42.

The XAU will be interesting long over 187.50.

Gold bounced back into a key area where the 200dma converges with the 0/8 level.

Oil doesn’t want to stay down. It outperformed the SPX, NDX and Compq. This is likely an asset class to watch in 2012.

The ES lost 23 on the day decisively breaking last week’s range and losing the 50dma in the process. Fibs have been added to the chart from the swing low to high of the recent move. A loss of the 50% level would be very bearish and put the October low in play. One small positive is that the MACD is still above the zero line.

The NQ futures used the 3/8 Gann level as support but surrendered the 4/8 Gann level. The breakdown was confirmed on Friday and Today’s price action was genuine follow through. The MACD has bearishly penetrated the zero level. Next support is the active static trend line around 2162 (red line).

Multi sector daily chart:

The 10-day Trin is getting very oversold. The most recent reading has it at 1.92. This tells us that the market is very short-term oversold and could see a meaningful turn..

The NDX has quickly lost a great deal of its relative strength and the near-term performance of index overweighed AAPL should be watched closely.

The OSX continues to bearishly underperform the crude futures.

There is still a divergence in the XAU/gold cross where the XAU is bearishly underperforming the underlying commodity.

The BTK broke to a new low on the move. Keep a close eye on the Gann 0/8 level at 1k.

The XAU bounced off the active static trend line. This Seeker setup is only 4 days down with the potential for a velocity break of the STL.

The SOX broke back below the 50dma and should find minor support at the 360 level where the trend channel resides.

The OSX has broken the triangle pattern and has minor support at the 50dma. Key support is at the 210 area which is the where the reverse H&S patter traces out.

The BKX was the last laggard on the day losing a full 3%. As long as this sector remains weak the broad market is anchored.

Gold was very weak and a source of funds for the margin sellers. Price settled below the 62% fib and has next support at the 50% level.

Oil also got whacked. The key near-term level is the 200dma and then the active static trend line. Note that the MACD has just rolled over.

The ES closed on the low of the day losing 23 handles. Price has penetrated the low of the current triangle but hasn’t yet followed through to confirm the break. The price action in the next 48 hours will set the tone for the next move.

The NQ futures lost 46 on the day but did yet to break any important technical levels. If the 200dma is lost then the price action from the last 5 weeks will turn into a nasty area of distribution and trap all the longs that got invested into the Q3 earnings season.

Multi sector daily chart, note the relative underperformance of the BTK:

The OSX was the top gun on the day and the only major sector to close in the green. Price attempted to break above the triangle but settled back within the pattern negating any real technical development.

The SOX outperformed the Naz and SP. Price remains trapped between the September high and the 50% fib.

The BTK is getting very close to the range low close.

The BKX was weaker than the broad market and settled just above the 50dma. This is very key support that needs to hold.

Gold was lower by 17 on the day:

Oil broke strongly above the 100 level and is now in the overbought area of the Gann box.

The ES lost 9 handles on the day, settling just above the 1250 price magnet. Note that the recent pattern since 10/27 is tracing out a triangle. The breakout should be significant. Perhaps we’ll see it Tuesday or Wednesday?

The NQ futures are still in the same lateral range, losing 7 on the day. There are no new technical features since price was contained within Friday’s range.

Multi sector daily chart:

The 10-day Trin is oversold reading well over the 1.35 level.

The put/call ratio recorded a complacent but not climatic reading of 0.79.

The daily cumulative A/D line of the NASDAQ composite continues to bearishly lag price.

The BTK was the only major sector that was positive on the day. Note that the patter is 9 days down on the Seeker and could pivot back up to the midpoint anytime.

The OSX is still working on a right shoulder for the breakout or failure. The pattern still needs a little more time to develop.

The SOX was lower on the day, underperforming the NQ. A break above the 405 would get momentum going to the upside.

The XAU traded inside yesterday’s candle so there is nothing new technically.

The BKX was the last laggard on the day, key support is just below at 37.84 (50dma).

Oil posted an 8th day up, just below key overhead at 100.

Gold was a little lower on the day, feeling the pull of a stronger $US.

The ES broke hard feeling the pressure from the extreme put/call reading on Monday. Price broke below the 1233 support area and settled below the 10ema. Depending on how this ultimately works out on the chart this candle could be a notable lower high.

The NQ futures were lower by 83 on the day but still above the key 200dma. Keep a close eye on how price interacts with the lower channel boundary around 2275.

The multi sector daily chart shows real relative weakness developing in the BTK.

The NYSE Trin closed at 6.66 which is extreme but so high that the door is open to taking out Wednesday’s low on Thursday. The 10-day Trin is now oversold at 1.63.

The BTK was the best of the worst, only slightly expanding the recent downside range.

The defensive BTK was in line with the market settling right at the key 200 and 50dma’s.

The SOX was weaker than the broad market and Naz down 4.6%. Key support should be found at the 371 area.

The OSX was down more than 5% and has more down side room before real support at 210.

The BKX was down almost 6% with key support at 38, a loss of this level could put the prior lows back in play if the MACD picks up momentum.

The Broker-dealer index was the weakest sector on the day. The MACD has crossed over and a break below the zero line would be very bearish.

Gold was lower on the day, repelled by the 1800 level.

Oil posted an outside day even after bullish inventory data.

The ES settled above the 200dma with a gain of 15 on the day. The testing of this key level continues and is likely not done yet.

The NQ futures gained 25 on the day almost matching the high close of the move to date. The Seeker countdown is now 7 days up.

The 10-day Trin settled almost neural at 1.05.

Multi sector daily chart:

The BKX was the top gun on the day but remains below the 43 breakout level.

The OSX was stronger than the broad market and just below the neckline of the reverse head and shoulders pattern.

The SOX was weaker than the NDX and staging just under the 50% fib level.

The BTK traded inside yesterday’s candle but is posting some nice bottoming tails.

The XAU was a source of funds but bullishly held above the midpoint of Monday’s range.

Gold was a little higher on the day just under the key 1800 level.

Oil qualified the 200dma breakout by expanding yesterday’s range. The active static trend line and 8/8 Gann level are the next area of interest.

The ES bounced back 13 handles to settle higher on the day but below the key 1250 level. As expected the market is “working” the 1250 area. Expect more of this in the days to come.

The NQ futures ended little changed with a small gain on the day. Price tested but held the 200dma. Keep a close eye on the MACD which is just beginning to look vulnerable. It takes time for the momentum indicators in the daily time frame to change character so let the chart develop and be open minded to both sides of the tape in the next few candles.

The multi sector daily chart shows relative strength developing in the XAU again.

The 10-day NYSE Trin is getting closer to the 1.35 oversold threshold again.

The OSX may be developing strength vs. the underlying oil futures which would be bullish for the sector. This is still a very immature divergence but one very worth monitoring.

The OSX was the top gun on the day, closing at a new high on the move and setting up for a move towards the 50% fib retracement.

The BKX posted an inside day, still below the key 40 level.

The SOX was little changed and remains below the September highs.

The BTK was the last laggard on the day. Price settled above both the 10 and 50 period moving averages and is still in the same range.

Gold broke bullishly broke back above the defining trend line. Keep a close eye on how price interacts with the 50dma just overhead.

Oil was lower on the day but held above the 90 near term support level.

The ES futures were higher by 8 on the day but the real story is the day within the day. Price gapped up, and then tested the 3/8 Gann level at 1278 only to be rejected and close below the open. This leaves a bearish camouflage sell signal on the chart. Expect weakness in tomorrow’s tape.

NQ futures also posted a camouflage sell signal. Note that price did not record a new high close within the context of the recent range. The sell signal doesn’t have to be trend killer but it does forecast near-term weakness.

Multi sector daily chart:

The 10-day NYSE Trin has retreated to the neutral area but never got near the overbought area of 0.85 or less on this impulse.

The BKX was top gun on the day but never cleared the important 40 level to get back above the downtrend line.

The SOX was able to clear the upper boundary of the channel but registered a bearish close near the low of the day.

The OSX was not able to recoup the 210 area and posted a camouflage sell signal.

The BTK was the last laggard on the day feeling the weight of the declining 50dma (green).

The VIX broke below the recent lows intraday but did not record a new low close and settled near the high of the day. Being short volatility will be treacherous until a close under 30. The chart is short term oversold.

Gold was higher on the day but contained below the broken DTL.

Oil was lower and remains in the downtrend as defined by the active DTL.

The ES was little changed on the day but did manage to fill the day’s gap. This was a pause day on the chart where the advance took a breather and consolidated the 100+ handle upside run.

NQ futures were higher by 12 on the day expanding the range of the rally. Price settled exactly at the 200dma. This could be an area where some work needs to be done on the chart. This leg of the move is now only 4 days up.

The SOX continues to bearishly lag the NDX100:

There is also a bearish condition in another intermarket pair. The XAU is still lagging gold futures which is generally bearish for the futures.

The OSX was the top gun on the day. Price challenged the 210 level but was not yet able to take it.

The BKX settled right at the 50dma. A break above this daily moving average would open the door to a bullish cross of the zero line by the MACD.

The SOX was the last laggard posting an inside day. Be sure to alarm Monday’s range for a breakout of the pattern.

Gold is still below the broken trend line.

Oil was slightly higher on the day.

The ES added 21 more to the recent upward impulse. Price settled just below the 10ema and reclaiming this key level would be another confirmation that this could be a lasting change in trend. The next technical feature to bolster the reversal case would be a Seeker price flip where price closes above the close 4 days ago.

The NQ futures were higher by 54 handles and reentered the price channel. Price settled right at the 10ema. The Seeker still has yet to record a price flip to begin an upward 9 bar momentum count.

Multi sector daily chart:

10-day NYSE Trin:

The XAU was top gun on the day and recorded a Seeker price flip.

The SOX was up 3% getting back to the midpoint of the price channel.

The BTK was stronger than the Naz. Price has now moved into a lateral trading formation.

The OSX is turning back up after using the risk level for support. Still no price flip.

The BKX continues to lag the broad market.

Gold did very little.

Oil is still holding above the 0/8 Gann level.

The ES lost 40 full handles on the day, breaking below key support at the 1100 area. Note that the MACD is again rolling over after never being able to break above the zero line.

Below is a weekly chart of the ES with Fibs showing the importance of the 1125 area. Next support in this time frame is 1018.

The NQ futures decisively broke down out of the regression channel. This is not a new low on the move and a crack of the August lows will likely get downside momentum rolling.

Multi sector daily chart:

The put/call ratio is elevated but did not record a super-climatic reading of 1.30+

Our 10-day NYSE Trin is flashing an extremely oversold reading of 2.16. The only concellation for the bulls might be that the last time the Trin was this oversold it did produce a strong bounce in the SP.

The XAU was the best performing sector and did not undercut Friday’s low.

The SOX broke back down to the low of the trend channel. The close was just a hair above the prior low.

The OSX was much weaker than the broad market. Price is below the 0/8 Gann level with next support at the -1/8 level of 172.

After breaking down out of the rising wedge the BTK is at critical support. The August low is the last line of defense before the 0/8 level comes into play.

The BKX broke to a new low on the move. Next support is 31.25.

The XAL airline index crashed 10% and will bearishly frame shift.

Oil is hovering just above critical support:

Gold attracted money and was “short-term parking” today.

The SP posted a very weak day losing 20 handles. Price settled below the midpoint of the trading range and the CCI could be on its way to confirming a lower high.

The NQ tanked by 35 handles and closed below the midpoint of the regression channel. Bearish activity to be sure but not yet a change in trend. The CCI is very close to breaking and qualifying a lower high. A technical lower high is defined as a lower high followed by 2 lower lows. This technique weeds out pauses in a healthy trend.

Multi sector daily chart shows the rapid reversal of the XAU moving from relative strength to relative weakness.

The put/call ratio recorded a climatic reading of 1.33 which implies that enough protection has been acquired short-term to allow for upside in equity prices.

Intermarket charts:

The NDX continues to bullishly lead the SPX:

The OSX is trailing oil futures on a relative performance basis which is bearish for oil.

The SOX is bearishly lagging the NDX100. This is a classic bearish divergence.

The XAU is badly lagging gold futures which is negative for gold.

The SOX was the least bad major sector down 3% on the day. Note that using the Seeker countdown qualifier, price will have to drop to 339 to record the buy signal.

The BTK underperformed the Naz and settled right at the 2/8 Gann level. Note that this was the lowest close of the month

The BKX was lower by 3.5% and remains trapped in the same range.

The XAU matched the YTD low and recorded a new low close.

The OSX was last laggard on the day. This is a new low close on the move but not quite a new absolute low.

The SP gained 28 on the day filling the gap form last week. Note that the pattern is 12 days down with a Seeker exhaustion signal on deck.

The NAZ is also 12 days down but much stronger than the SP because the trend channel is still intact.

The XAU has lost all its relative strength:

The put/call ratio is back into the neutral area.

The 10-day Trin is back down into the neutral area but still has oversold energy in it to be released.

The BKX was higher by an impressive 5%. Note that the Seeker exhaustion signal is active.

The OSX outperformed the market and also has an active Seeker buy signal in place. Note that Monday’s candle was a classic range low outside up day.

The XAU printed new YTD lows and did not post a reversal candle.

The BTK has an active Seeker exhaustion signal. Look for a reclamation of the triangle pattern.

The SOX was a huge laggard on the day and is a source of concern for the bulls. Price needs to break decisively above the trend channel high.

Gold made a new low on the move as the liquidations continue. There was an erroneous print in the overnight futures so below is the GLD etf.

Oil was little changed on the day and did not make a new low on the move. Note the nice long tails that the last 2 candles have formed.

The SP hemorrhaged a full 40 handles most of which coming after the Fed announced “operation twist” that was greeted by the market with a Bronx cheer. Price is back below the lower channel boundary. Note that on the Seeker this was a fresh price flip to the downside.

Naz lost 51 on the day and is in much better technical condition than the broad market. But things can change fast. The CCI has recorded a lower high and a downturn from here could get momentum rolling to the downside.

The 10-day Trin got a hard pop because of the high reading from today’s close. Wednesday, the Trin closed at 3.92 which favors a gap up Thursday morning.

The OSX is lagging oil futures which is generally bearish for oil prices.

The SOX is bearishly lagging the NDX:

The BTK is still within the same pattern.

The SOX remains in the same downtrend. Next support is the channel midpoint or 360.

The XAU settled at the week’s low and the 50dma.

The OSX got bombed down 4.5% and broke down through the triangle pattern. The next important area is the August low around 211.

The BKX collapsed 5.5% and is threatening to break to new lows on the year. The only bullish conciliation is that price did not record a new low close and recorded a Seeker 13 exhaustion buy signal.

The SP lost 14 on the day after recovering bigger losses from a large gap down. Price settled near but under the midpoint of the trend channel.

Naz was lower by 6 on the day and there was one interesting nuance. Price traded at a new high on the move but settled lower. Note that the upper boundary of the channel was tested.

Multi sector daily chart:

The put/call ratio rebounded from an extreme low on the expiration.

The BTK was the top sector though it was still lower on the day. The pattern is getting mature and price is nearing the apex.

The XAU was stronger than the broad market and still above all the major moving averages.

The SOX settled right at the upper trend channel and was in-line with the performance of the Naz

The oil services stocks are nearing the break point of the triangle. The move on the exit of the pattern should be tradable.

The BKX was weak and is still scratching for the Seeker exhaustion signal.

Gold is working lower in price and nearing the 4/8 Gann level at 1750.

Oil was lower on the day, breaking below the triangle.

The SP had a very strong upside option unraveling bias gaining 17 on the day. The 1180 gap has been filled and traders should target the midpoint of the channel next.

Naz was higher by 31 handles and expanded and almost tested 200dma. The next channel is the 200dma.

Multi sector daily chart:

The SOX was by far the strongest sector on the day. The upper trend channel should be resistance.

The BKX is still trapped and only performed in-line with the market.

The OSX was higher on the day but is still contained within the pattern.

The BTK is still staging in the pennant pattern, nothing new technically until the pattern is resolved.

The XAU was last laggard and a source of funds.

Gold was slightly lower on the day.

Oil was weak on the day despite a weaker dollar and higher equity prices.

The SP was lower for most of the session but put in a reversal day to close plus 5 handles. The lower boundary still has not been violated on a closing basis. Continue to use the channel for guidance on price.

Naz was higher by 26 on the day fueled by a semiconductor takeover. Just like the SP the Naz is working within a price channel. Be sure to keep on top of where price is relative to the channel.

Multi -sector daily chart:

The put/call ratio is pulling back from a >1.30 reading on Friday.

The NYSE cumulative A/D line is still trading in step with price which is not bullish but perhaps just as importantly leading to the downside. This is very important because the A/D line is a leading indicator.

The SOX was the top gun on the day, settling close to the top of the trading range. Fresh leadership after the takeover pop would be really very positive for equities.

The BKX was stronger than the market but is still nowhere positive on the chart. It is still a very sloppy pattern. The chart sill needs a few more weak candles to record 13 bars down for a Seeker buy signal.

The OSX is winding up in a triangle. Key resistance remains around 245.

The BTK is tracing out the same failure pattern. Keep a close eye on the lower DTL.

The XAU was the last laggard on the day down 2.6% and a source of funds. This could be a velocity break in the works because it tested the active static trend line on candle one.

Oil:

Gold was lower by $41, note the trend channel.

There was a strong (bearish) cross in the XAU/gold futures chart:

The SP gapped higher than powered up to finish +34 on the day. The futures made good on yesterday’s camouflage buy candle and were just short of filling the critical 1200 gap. Price is back to the midpoint of the trend channel and neutral relative to the recent range.

The Naz gained 56 handles and filled the overhead gap at 2217.

The 10-day Trin still has plenty of upside juice before it will record an overbought reading.

The put/call ratio took a hit but didn’t record a climatic reading <0.80.

The BKX was the top gun on the day, almost but not quite filling the overhead gap. The real breakout remains over 40.

The OSX came on strong and carried relative strength vs. the SP. The long side gets much more interesting above 245, and even more so above the DTL.

The SOX was strong vs. the Naz which is always encouraging to the bulls. 360 will be a big level where the recent highs will intersect with the midpoint of the trend channel.