Market Signals for the US stock market S and P 500 Index and Indian Stock Market Nifty Index for the Week beginning February 1

Indicator	Weekly Level / Change / Significance	Implication for S & P 500	Implication for Nifty*
S & P 500	1940, 1.75%	Bullish	Bullish
Nifty	7564, 1.90%	Neutral**	Bullish
China Shanghai Index	2738, -6.14%	Bearish	Bearish
Gold	1118, 1.84%	Bullish	Bullish
WTIC Crude	33.74, 4.62%	Bullish	Bullish
Copper	2.06, 2.90%	Bullish	Bullish
Baltic Dry Index	317, -10.45%	Bearish	Bearish
Euro	1.083, -0.35%	Neutral	Neutral
Dollar/Yen	121.05, 1.93%	Bullish	Bullish
Dow Transports	6907, 1.89%	Bullish	Bullish
High Yield (ETF)	33.21, 0.76%	Bullish	Bullish
US 10 year Bond Yield	1.93%, -5.71%	Bullish	Bullish
Nyse Summation Index	-725, 5.82%	Bullish	Neutral
US Vix	20.20, -9.58%	Bullish	Bullish
20 DMA, S and P 500	1925, Above	Bullish	Neutral
50 DMA, S and P 500	2008, Below	Bearish	Neutral
200 DMA, S and P 500	2046, Below	Bearish	Neutral
20 DMA, Nifty	7536, Above	Neutral	Bullish
50 DMA, Nifty	7705, Below	Neutral	Bearish
200 DMA, Nifty	8088, Below	Neutral	Bearish
India Vix	17.24, -8.40%	Neutral	Bullish
Dollar/Rupee	67.88, 0.44%	Neutral	Neutral
Overall	S & P 500	Nifty
Bullish Indications	11	12
Bearish Indications	4	5
Outlook	Bullish	Bullish
Observation	The Sand P 500 and the Nifty rallied last week on what will prove to be yet another failed. QE from Japan. Indicators are bullish. Looking for the current bounce to hit overhead resistance at slightly higher levels.
On the Horizon	Australia– Rate decision,  Canada – Employment data, China-PMI, New Zealand – Employment data, Euro zone – German Employment data, U.K – Rate decision, U.S – Employment data, ISM data, India - Rate decision.
*Nifty	India’s Benchmark Stock Market Index
Raw Data	Courtesy Google finance, Stock charts, FXCM
**Neutral	Changes less than 0.5% are considered neutral

The US market and Nifty rallied last week as expected. Signals are bullish for the upcoming week. The markets are in crash mode and are likely to continue major breakdowns in 2016 after this oversold bounce hits resistance near the 1980 mark on the S&P. The critical levels to watch are 1960 (up) and 1920 (down) on the S & P and 7600 (up) and 7500 (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. You can also check out snapshots of the 

S and P 500 and Nifty Indices. Love your thoughts and feedback.

Interesting Market News and Views from Global Financial Markets-14

1) India’s markets lose their Modi mojo - FT.com

From www.ft.com - Today, 8:34 PM

Narendra Modi swept to election victory on a pro-business economic platform on May 16 2014, pushing India’s benchmark Sensex share index to a record high of more than 24,000 points.

2) Fed Sees Weaker Growth and Slow Inflation Rise; U.S. Indices at an On-and-Off Mode

From www.fxstreet.com - Today, 8:31 PM

The two-day Fed monetary policy meeting that ended on Wednesday was unlikely to stoke much volatility to the greenback, as it wasn’t followed by a press conference as usual.

3) How to Invest in Stocks During 2016's Extreme Volatility

From moneymorning.com - Today, 8:31 AM

With global markets experiencing wild swings in 2016, investors want to know how to invest in stocks. Here's our complete guide on how to invest now.

4) Stock Market On Verge Of Crash

From www.talkmarkets.com - Today, 8:26 AM

The developing cyclical downtrend in the stock market is on the verge of accelerating into a crash.

5) How The Fed is Suffocating The Economy | Clif Droke | Safehaven.com

From safehaven.com - Today, 8:18 AM

There are two established ways of killing forward momentum and induce economic recession. One is to sharply reverse monetary policy or margin maintenance policy from very loose to very tight.

6) Wednesday links: when markets fall

From abnormalreturns.com - Today, 8:18 AM

Book notes: Meb Faber’s Investing With the House: Hacking the Top Hedge Funds is a good introduction to hedge fund cloning.