Scalper1 News
Major averages fell yesterday on higher volume as the NASDAQ Composite met resistance at its 200dma. Futures are currently higher by about 0.5% which would give the NASDAQ Composite a second try at breaking above its 200-day moving average. Expect more backing and filling as the market digests its gains. The S&P 500 is about 4% off its highs and 1.48% from its 200dma, so while it could continue to trend higher as it approaches new highs, any uptrend beyond a broach into new high ground may be short-lived. This year, rallies into new high ground have fizzled out as the major markets have expressed deep reluctance to continue any meaningful move. Indeed, if you look at a weekly chart of the S&P 500 since QE began in late 2008, you will see a slowing ascent, especially when comparing uptrends between 2013-2014 to uptrends in 2009-2012. And in 2015, this slowing ascent has slowed to, more or less, a flatlining, trendless market. That still makes the US the tallest standing midget as world markets have been in bearish downtrends since mid-2015. Nevertheless, the weight of the slowing global economy as reflected by the bearish stock market charts in China, Europe, UK, and so on will most likely keep a lid on the US stock market achieving any meaningful uptrend beyond old highs. Profit opportunities in individual stocks should continue to present as they did so at various times this year.  Short-sale target Tesla Motors (TSLA), which we reactivated as a short-sale in our Pre-Market Pulse report of October 1st. has continued to move lower as negative news begins to pile up for the stock. Our current downside target for the stock remains 180. Scalper1 News
Scalper1 News