Market Signals for the US stock market S and P 500 Index and Indian Stock Market Nifty Index for the Week beginning November 27

Indicator	Weekly Level / Change	Implication for S & P 500	Implication for Nifty*
S & P 500	2602, 0.91%	Bullish	Bullish
Nifty	10390, 1.03%	Neutral **	Bullish
China Shanghai Index	3354, -0.86%	Bearish	Bearish
Gold	1287, -0.71%	Bearish	Bearish
WTIC Crude	58.95, 3.95%	Bullish	Bullish
Copper	3.17, 3.33%	Bullish	Bullish
Baltic Dry Index	1445, 6.17%	Bullish	Bullish
Euro	1.1925, 1.12%	Bullish	Bullish
Dollar/Yen	111.51, -0.55%	Bearish	Bearish
Dow Transports	9620, 1.45%	Bullish	Bullish
High Yield (ETF)	36.99, 0.54%	Bullish	Bullish
US 10 year Bond Yield	2.34%, -0.59%	Bullish	Bullish
Nyse Summation Index	389, 26.20%	Bullish	Neutral
US Vix	9.65, -15.57%	Bullish	Bullish
Skew	131	Neutral	Neutral
20 DMA, S and P 500	2585, Above	Bullish	Neutral
50 DMA, S and P 500	2555, Above	Bullish	Neutral
200 DMA, S and P 500	2447, Above	Bullish	Neutral
20 DMA, Nifty	10324, Above	Neutral	Bullish
50 DMA, Nifty	10166, Above	Neutral	Bullish
200 DMA, Nifty	9642, Above	Neutral	Bullish
India Vix	13.51, -1.46%	Neutral	Bullish
Dollar/Rupee	64.55, -0.55%	Neutral	Bullish
Overall	S & P 500	Nifty
Bullish Indications	13	14
Bearish Indications	3	3
Outlook	Bullish	Bullish
Observation	The S and P 500 and the Nifty were up last week. Indicators are bullish. The market is topping. Time to tighten those stops.
On the Horizon	China – PMI, Euro zone – German employment data, German PMI, CPI, UK – PMI, U.S – New and pending home sales, Consumer confidence, Yellen speech, Oil inventories, GDP, ISM PMI, Canada – Poloz speech, Employment data, GDP
*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 made a new high and the Nifty was up last week. Signals are bullish for the upcoming week. Quantitative tightening by the FED is yet to be priced in and sentiment indicators are back in complacency mode. The markets are still trading well over 3 standard deviations above their long term averages from which corrections usually result. The critical levels to watch are 2610 (up) and 2590 (down) on the S & P and 10500 (up) and 10300 (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.