Thursday, June 24, 2010

Heavy fight

Today we could see the effect of yesterday's 15-min chart's aggregating selling power followed by a panic selling from retail had not too much effect on bearish volume exhaustion.

US market, SPX:

Long-term volume signal (1day): Long with warning.

Further volume readings from other, non-public sources: selling institutional volume is clearly declining, however signals show a small remaining power-upturn need to be eliminated in order to have safe upswing price effect. It gives some warning signal.
Advancing institutional volume turned down slightly, however it'still above a critical signal level.
We are still in a strong up volume oscillator setup gives much higher probability for bullish continuation.
Advancing momentum is still in positive area.

General reading : SPX is in consolidation before bullish turn. As it is shown, this consolidation effect can be observed pretty well on chart in the past.

Short-term volume signal (15 min):

Short term oscillator indicates a confirmed buy signal on 23-06-2010 12:15 .Oscillator also confirms a possible bull direction.
Further volume readings from other, non-public sources: Momentum is still in negative area, with a declining selling local peak. Small downward price effect is possible next trading day, followed by a positive price effect, as yesterday's buy volume will manifest.

Other observations:

Clear coil pattern can be observed on several indexes suggesting upswing in next days.
Low volume day again, with no major advancing/declining ratio.

Large SPY, C buy volumes suggest bullish market direction as well.

60-min Ichimoku analysis shows eligible support for a bullish change, current cloud need to be held or left up in order to have bull confirmation.

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