WALL STREET CRAPS STOCK MARKET STRATEGY MAY 27, 2024
The stock market appears to have reached a short-term “external top” with the reversal on Thursday after the Nvidia earnings report. In order to receive a “sell signal,” I would anticipate a new closing high or two with non-confirmations across the board. That is setting up for within the next 5-10 trading days. However, if the market continues to climb with strengthen, then Wednesday’s external top analysis would be invalidated.
Key underlying short-term timing indicators show the following:
- NYSE McClellan Oscillator – Ultimate Indicator – 28 (Oversold)
- Nasdaq McClellan Oscillator – Ultimate Indicator – 28 (Oversold)
- Volatility Indicator – Ultimate Indicator – 61 (neutral)
- NYSE Advance/Decline Oscillator – Ultimate Indicator – 43 (neutral)
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NYSE McClellan Summation Index: This index’s oscillator has a current reading of 64. This indicator has topped out and is trending down at the moment. This often times indicates that the market is heading down or staying flat.
Fear/Greed Index: This popular indicator is in the “Neutral” territory with a reading of 53. New long positions should be considered if this indicator can get below a reading of 25. That will take a little bit of time to create.