Market Signals for the US stock market S and P 500 Index and Indian Stock Market Nifty Index for the Week beginning August 07

Indicator	Weekly Level / Change	Implication for S & P 500	Implication for Nifty*
S & P 500	2477, 0.19%	Neutral	Neutral
Nifty	10066, 0.52%	Neutral **	Bullish
China Shanghai Index	3262, 0.27%	Neutral	Neutral
Gold	1265, -0.84%	Bearish	Bearish
WTIC Crude	49.58, -0.26%	Neutral	Neutral
Copper	2.88, 0.35%	Neutral	Neutral
Baltic Dry Index	1023, 8.60%	Bullish	Bullish
Euro	1.1774, 0.19%	Neutral	Neutral
Dollar/Yen	110.67, -0.01%	Neutral	Neutral
Dow Transports	9278, 0.55%	Bullish	Bullish
High Yield (ETF)	37.22, -0.07%	Neutral	Neutral
US 10 year Bond Yield	2.27%, -0.96%	Bullish	Bullish
Nyse Summation Index	712, -5.21%	Bearish	Neutral
US Vix	10.03, -2.53%	Bullish	Bullish
Skew	140	Neutral	Neutral
20 DMA, S and P 500	2464, Above	Bullish	Neutral
50 DMA, S and P 500	2444, Above	Bullish	Neutral
200 DMA, S and P 500	2331, Above	Bullish	Neutral
20 DMA, Nifty	9946, Above	Neutral	Bullish
50 DMA, Nifty	9746, Above	Neutral	Bullish
200 DMA, Nifty	8974, Above	Neutral	Bullish
India Vix	11.39, 2.27%	Neutral	Bearish
Dollar/Rupee	63.75, -0.55%	Neutral	Bullish
Overall	S & P 500	Nifty
Bullish Indications	7	9
Bearish Indications	2	2
Outlook	Bullish	Bullish
Observation	The S and P 500 and the Nifty are close to new highs. Indicators are bullish. The market is topping. Time to tighten those stops.
On the Horizon	UK – Manufacturing production data, New Zealand – Rate decision, U.S –Oil inventories, PPI, CPI
*Nifty	India’s Benchmark Stock Market Index
Raw Data	Courtesy Google finance, Stock charts, investing.com
**Neutral	Changes less than 0.5% are considered neutral

The S and P 500 and the Nifty are close to new highs. Signals are bullish for the upcoming week. Past and future FED rate hikes are yet to be priced in and sentiment indicators are back in complacency mode. Transports and the Yen are flashing warning signs. Momentum is waning. The critical levels to watch are 2485 (up) and 2465 (down) on the S & P and 10100 (up) and 10000 (down) on the Nifty. A significant breach of the above levels could trigger the next big move in the above markets. You can check out last week’s report for a comparison. Love your thoughts and feedback.