Daily Market Insight

Here is your daily insight from global financial markets. Today's post is an aggregate of interesting news and views form the Stock, FOREX and Commodity markets and the Economy:
Daily Market Insight

Daily Market Insight

Here is your daily insight from global financial markets. Today's post is an aggregate of interesting news and views form the Stock, FOREX and Commodity markets and the Economy:
Daily Market Insight

Market Signals for the US stock market S and P 500 Index and Indian Stock Market Nifty Index for the Week beginning July 31

Indicator	Weekly Level / Change	Implication for S & P 500	Implication for Nifty*
S & P 500	2472, -0.02%	Neutral	Neutral
Nifty	10015, 1.00%	Neutral **	Bullish
China Shanghai Index	3253, 0.47%	Neutral	Neutral
Gold	1275, 1.63%	Bullish	Bullish
WTIC Crude	49.71, 8.61%	Bullish	Bullish
Copper	2.88, 5.60%	Bullish	Bullish
Baltic Dry Index	942, -2.28%	Bearish	Bearish
Euro	1.1752, 0.78%	Bullish	Bullish
Dollar/Yen	110.68, -0.40%	Neutral	Neutral
Dow Transports	9227, -2.58%	Bearish	Bearish
High Yield (ETF)	37.41, 0.24%	Neutral	Neutral
US 10 year Bond Yield	2.29%, 2.55%	Bearish	Bearish
Nyse Summation Index	751, 3.13%	Bullish	Neutral
US Vix	10.29, 9.94%	Bearish	Bearish
Skew	140	Neutral	Neutral
20 DMA, S and P 500	2452, Above	Bullish	Neutral
50 DMA, S and P 500	2435, Above	Bullish	Neutral
200 DMA, S and P 500	2322, Above	Bullish	Neutral
20 DMA, Nifty	9839, Above	Neutral	Bullish
50 DMA, Nifty	9682, Above	Neutral	Bullish
200 DMA, Nifty	8937, Above	Neutral	Bullish
India Vix	11.14, 0.47%	Neutral	Neutral
Dollar/Rupee	64.11, -0.55%	Neutral	Bullish
Overall	S & P 500	Nifty
Bullish Indications	8	9
Bearish Indications	4	4
Outlook	Bullish	Bullish
Observation	The S and P 500 and the Nifty made new highs last week. Indicators are bullish. The market is topping. Time to tighten those stops.
On the Horizon	China – PMI, UK - PMI, Rate decision, Australia – Rate decision, Retail sales, New Zealand – Employment data, Euro Zone – CPI, PMI, German PMI, German employment data, U.S –Oil inventories, pending home sales, ISM, employment data, Canada – employment data, PMI, India – RBI rate decision
*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 made new highs last week. 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 2460 (down) on the S & P and 10100 (up) and 9900 (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.