25th-April-2011–My Analysis

BULL or BEAR ??

Short term (1 week)

Long term (1 month)

-- VXX broke downward from the support line. -- UUP is all time low again. Falling out from its down trend path some more. -- SPY is now testing the trend line again. The process of bouncing to this trend line shows that the index is quite strong. -- Daily NASDAQ shows strong break through on the trend line. -- DJIA chart shows that there still is some upside for it to go before coming to the trend line.

-- SPY is hitting the trend line now. If it cannot break through, it can mean the start of a downturn. -- VXX is creating new low; however, watch out for island pattern formation. -- Many data due this week wit FOMC meeting. -- Warning from S&P on US debt issue.

 

Next Week Economic Data:

 

 

Input:

 

1. Quite a heavy data week. Better watch out!

 

VXX chart:

 

 

 

Input:

 

1. Hitting all time low again; however, be careful of island pattern formation on the daily chart.

 

SPY chart:

 

 

 

 

Input:

 

1. Daily chart shows strong support line at 100MA line. The 20MA and 50MA line is starting to do a bullish cross.
2. Daily chart also shows resistance at the trend line. This may give the bull some challenge.
3. Weekly chart shows strong support line at the 20MA line. However, MACD, TMF and RSI are showing a bit of weakness.

 

DJIA chart:

 

 

 

Input:

 

1. Daily DJIA chart shows that there could still be some upside for it to go.

 

NASDAQ chart:

 

 

 

Input:

 

1. Daily NASDAQ chart shows that the trend line is broken upward. Quite a bullish indicator.

 

UUP chart:

 

 

 

Input:

 

1. QE2 is going to end. What will happen to this UUP chart?
2. Daily UUP chart shows that the price has dropped out from the down trend lines. This can create a sudden bounce back.

 

Sector Analysis:

 

 

Input:

 

1. Most sectors are still at the up trend, except the financial sector.

 

GLD, SLV, Petrol and Natural Gas charts:

 

 

 

 

 

Input:

 

1. UNG is a buy now.
2. USO still on up trend. It is still above its up trend line.  With this my DBLE position should be quite ok.
3. GLD and SLV continuously to be incredible.

 

FXI (iShares FTSE / Xinhua China 25 Index Fund) chart:

 

 

Input:

 

1. China market still look healthy.

 

Baltic Dry Index chart:

 

 

Input:

 

1. Don't see improvement at all. Don’t touch shipment stocks.