SPX, NDX and DJX today’s ratio levels and comments

No change in the SPX’s NZ today although tomorrow perhaps Thursday and we should see it at 2445-2455.

This delay really is not helping as this index misses yet another day to build ratios, which is happening below the zone no problem but above it today R1 slips to 2505.

The ratios are going to continue to be weaker above the zone until it does finally move, and our issue is that this is the exact time it should be developing here so if it misses this opportunity it could end up stunted throughout.

Great if you are a “sky’s-the-limit” bull but we much prefer to see natural fully developed market, which of course does not preclude the bulls it just means they actually have to literally buy into it not just talk it up.


Range:            2430  to  2505

Activity           Average

Type:              Neutral



Talking about “sky’s-the-limit” bulls the NDX is now only up about 24% this year and judging by how much Y ratio is still present the door is still wide open, or should that be the skylight?

The ratios are better below the zone, then weaker around the current market level then firm up further out, which remains a bullish signal and being in the middle of a 200 point Y1 ratio bandwidth there is nothing to stop them, although that works both ways of course.


Range:            5825  to  6025

Activity:          Moderate

Type:              Neutral



It is a huge day for the DJX today, and therefore by default the US markets overall.

The low yesterday was 21496, where it was for quite a while, so a very solid test of the upper boundary of their NZ.

The fact it came back to close where it did, which is effectively right on it, means the open and first 5 minutes of trading are going to be critical today.

Below 21500 and it is back into its zone with 200 points of no ratio below it whereas a strong start and it has 200 points of minimal Y1 ratio above it and then a huge jump in ratio straight to R1, so bit of a brick wall. Have fun.


Range:            21300  to  21500     or      21500  to  21700 

Activity:          Good

Type:              Bullish

July 25th, 2017 by