WALL STREET CRAPS STOCK MARKET OBSERVATIONS FOR FEBRUARY 9, 2014
STOCK MARKET OBSERVATIONS FOR February 9, 2014: The stock market reached oversold levels last week and is now poised to rally further. While a retest of the lows could occur at the beginning of next week, it is certainly possible for the market to simply hesitate at this level to digest the recent gains. While the majority of indicators are in neutral positions, a little bit of weakness early this coming week may be your only opportunity to hop on board for what could be a big rally worth the risk.
Key underlying market indicators show the following
- NYSE Breadth Oscillator – Ultimate Indicator – 60 (neutral)
- Nasdaq Breadth Oscillator – Ultimate Indicator – 57 (neutral)
- NYSE % Above 50 Day Moving Average – Ultimate Indicator – 49 (neutral)
- Nasdaq % Above 50 Day Moving Average – Ultimate Indicator – 39 (neutral)
- S&P 100% Above 200 Day Moving Average – Ultimate Indicator – 49 (neutral)
- Stock vs. Bond Indicator – Ultimate Indicator – 52 (neutral)
- S&P 500 Bullish Percent Index – Ultimate Indicator – 18 (BUY)
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My advice for traders and investors for this week is this: look for a chance to buy on any weakness in the beginning of the coming week. The majority of internal indicators are in neutral positions now. The optimal time to buy was last Wednesday so getting in on the absolute low doesn’t look likely in this next week. Things do change quickly is this current market environment so stay alert!
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