Tuesday, 17 January 2012

Rally

I am pressed for time this evening but have thrown together a few charts...

Will today's rally survive the US session?

wrote this morning that I believe the market is very close to declaring its hand for the months ahead. There were trend line breaks and tests all over the shop today.

S&P 500 after hours. Neckline busted, down trend line busted.


ASX 200 after hours. Testing down trend line drawn from the April high.


AUD/USD almost testing the trend line drawn from the mid-2011 high.


EUR/USD pips away from bullishly signalling another false break below the trend channel.


NASDAQ 100 after hours. I believe that if (IF) this can break to new highs it will signal a new bull run for US stocks. Thanks to Peter Brandt for including this market in his weekly charts review... otherwise I would've missed it altogether.

NASDAQ 100 shows the bullish potential for US stocks

Many will interpret as bearish my numerous S&P 500 Head and Shoulder posts (for example the most recent). But trend lines and chart pattern set ups are neither bullish or bearish, merely lines in the sand. Another way to interpret the H & S posts is Not Bullish, or Not Bullish Yet. The bullish potential for US stocks is not to be underestimated. I believe that the market is very close to declaring its hand for the months ahead.

The following long term weekly candlestick chart for the NASDAQ 100 including after hours trade shows the moving averages indicating an up trend, and price pushing for a bullish breakout.