|
Indicator
|
Weekly
Level / Change
|
Implication
for
S
& P 500
|
Implication
for Nifty*
|
|
S
& P 500
|
2441, -1.43%
|
Bearish
|
Bearish
|
|
Nifty
|
9711, -3.56%
|
Neutral
**
|
Bearish
|
|
China
Shanghai Index
|
3209, -1.64%
|
Bearish
|
Bearish
|
|
Gold
|
1294, 2.32%
|
Bullish
|
Bullish
|
|
WTIC
Crude
|
48.82, -1.53%
|
Bearish
|
Bearish
|
|
Copper
|
2.91, 0.94%
|
Bullish
|
Bullish
|
|
Baltic
Dry Index
|
1092, 6.74%
|
Bullish
|
Bullish
|
|
Euro
|
1.1820, 0.39%
|
Neutral
|
Neutral
|
|
Dollar/Yen
|
109.17, -1.36%
|
Bearish
|
Bearish
|
|
Dow
Transports
|
9199, -0.85%
|
Bearish
|
Bearish
|
|
High
Yield (ETF)
|
36.77, -1.21%
|
Bearish
|
Bearish
|
|
US
10 year Bond Yield
|
2.18%, -3.44%
|
Bullish
|
Bullish
|
|
Nyse
Summation Index
|
460, -35.36%
|
Bearish
|
Neutral
|
|
US
Vix
|
15.51, 54.64%
|
Bearish
|
Bearish
|
|
Skew
|
135
|
Neutral
|
Neutral
|
|
20
DMA, S and P 500
|
2470, Below
|
Bearish
|
Neutral
|
|
50
DMA, S and P 500
|
2448, Below
|
Bearish
|
Neutral
|
|
200
DMA, S and P 500
|
2339, Above
|
Bullish
|
Neutral
|
|
20
DMA, Nifty
|
9962, Below
|
Neutral
|
Bearish
|
|
50
DMA, Nifty
|
9775, Below
|
Neutral
|
Bearish
|
|
200
DMA, Nifty
|
9004, Above
|
Neutral
|
Bullish
|
|
India
Vix
|
15.19, 33.41%
|
Neutral
|
Bearish
|
|
Dollar/Rupee
|
64.08, 0.52%
|
Neutral
|
Bearish
|
|
Overall
|
S
& P 500
|
Nifty
|
|
|
Bullish
Indications
|
5
|
5
|
|
|
Bearish
Indications
|
10
|
12
|
|
|
Outlook
|
Bearish
|
Bearish
|
|
|
Observation
|
The
S and P 500 and the Nifty experienced sell offs. Indicators are bearish.
The
market is topping. Time to tighten those stops.
|
||
|
On
the Horizon
|
Japan
– GDP, China – Industrial production, Australia- RBA minutes, Employment data,
Euro Zone – German GDP, CPI, UK – CPI, Employment data, Retail sales, Canada
– CPI, U.S – Retail sales, Oil inventories, FOMC minutes
|
||
|
*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 sold off significantly last week. Signals are bearish for
the upcoming week. Past and future FED rate hikes are yet to be priced in and sentiment
indicators are finally shifting from complacency. Transports and the Yen are flashing
warning signs. The markets are still trading at 3 standard deviations above
their long term averages from which corrections usually result. The critical
levels to watch are 2450 (up) and 2430 (down) on the S & P and 9800 (up)
and 9600 (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.
