SPX , NDX and DJX Ratio Tables 10th Nov 2017
Wrong choice for the SPX as if you do decide you have to back it up and they didn’t do that here yesterday.
Although to be fair to them had they done so they would most certainly have been swimming against the tide.
This just goes to prove what we have been saying that for all the intentions here the decision may well not be theirs to make, as yesterday perfectly encapsulated.
Given free rein then the ratios continue to build below the zone, and although unchanged above it they are weaker, so all good.
As is the fact they have been back to and below their new NZ and yet still finished above it.
Range: 2580 to 2605
Type: On balance bearish
That may well have caused the defibrillators to come out yesterday in the NDX.
Opening down 50.52-points may well have come as a shock but what is the most revealing is the reaction to it.
And don’t forget this index was down almost 100-points, and in yet another of those coincidences we so love, exactly to the middle of the new NZ.
So, to finish down just 30 is a victory in itself but for activity to be similar again today is ballsy to say the least.
Range: 6275 to 6400
Type: On balance only just bearish
It has been such a long time since the DJX has been acting rationally we are justified in treating yesterday with suspicion.
However, there is no denying that it acted in a very similar manner to the SPX, the only difference being that here they did start inside their NZ.
Shock alert, but by getting as low as 23310 the DJX has now been below its zone.
Almost a year to the day and as much as we love coincidence there is another anniversary about now, hmmm.
At least bit has stimulated activity so the rollover is looking exciting.
Range: 23400 to 23600
Type: On balance just fractionally bullish