Mercredi 19 novembre 2014
The Sigma Whole Market Index continues its advance. It seems that nothing can stop this market. Day after day, we are printing new records on the NDX,SPX, DJI, .... Most analysts and market
commentators are calling for further gains thanks to the seasonality (year end rally) and it seems Santa Claus is already here for more than one
Nevertheless, recent rally hasn't been confirmed by the Sigma Smart Money Index. This means that 'strong hands' are reducing their exposure to the market. While the Sigma Whole Market Index is
printing new record highs, the Sigma Smart Money index printed 3 lower highs (grey lines). This is a warning signal.
Looking at the Small Cap 600, we can also notice a (negative) reversal day on Tuesday. This doesn't sound bullish.
Looking at the Russell 2000, we can notice this index remains below 2 strong horizontal resistances. This is not postive.
In Europe, the Sigma Whole Europe Index is unable to climb above the blue horizontal resistance. And the market is retesting its broken uptrend (by the south). The Situation is
definitively less bulish than it seems.
There is no new information coming from our indicators.
The ST model uplifted (once again) its stops on both the NDX and the SPX:
Short Term Trading Book:
- SPX: long at 1892.65 (stop @ 1960, 3pts below the ST model to take into account bid/ask spread)
- NDX: long at 3828.03(stop @ 3981, 5pts below the ST model to take into account bid/ask spread)
- CAC: stopped
- EStox: stopped
- DAX: long at 8769.25(stop @ 9104, 10pts below the ST model to take into account bid/ask spread)
- IBEX: stopped