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

The SPX did try to breakout but it seems the decision does still rest with the DJX, please see below.

Having been down almost 15 points it reversed as soon as any strength was shown elsewhere and the ease with which this was achieved reveals that if a breakout was intended it wasn’t backed with much, if any, conviction.

Furthermore the rebound towards the end of the day took this index all the way back to the top boundary of its NZ, getting as high as 2429.30, before finishing dead center, again.

Therefore again if a breakout was intended and a shock/surprise sent it the wrong way then this opportunity to break out the other way was also spurned, so again no great conviction revealed, in fact the exact opposite.


Range:            2420  to  2430

Activity           Poor

Type:              Not bearish



For the NDX which made its breakout on Monday after Friday’s NZ bandwidth test evidently the surprise/shock wasn’t very much for them as at the worst hey only gave up 26.88 points.

However more to the point the low was 5667.27 so it was the top of their NZ that was providing support as the bulls didn’t want to let the market break back into it.

Therefore they are still in an ocean of Y1 and even the step-up does not appear until 5825 so barring any more untoward events this index seems to have set its stall out.


Range:            5675  to  5850

Activity:          Strong

Type:              On balance definitely bearish




Hold the front page as activity comes charging back into the DJX, and what is more enough to change things around a bit.

Of course unlike the market so far but as the refusal by this index to entertain the notion of entering bear territory turned all three, the low being 21279 or the bottom boundary of its NZ, it shows that the decision still rests here, and emphatically so.

Therefore the big changes are Y2 below the zone jumps significantly, but is still a ridiculous distance away, whereas above the zone Y2 slips to 21900 and we lose R1 altogether.


Range:            21300  to  21500 

Activity:          Average

Type:              Bearish

July 12th, 2017 by