Market

[Pascal]

Today, the 20DMMF shows weakness while the NQ8 MF shows strength


Pascal

[Pascal]

The NQ8 MF looks weak today, but on a longer term view, we seem to be in a tight range.


Pascal

[Pascal]

Really impressive systematic buying. It is as if there was some constant/regular liquidity injection.
Is it a central bank initiated message?


Pascal

[Pascal]

To know whether the bounce has legs, one clue is to see if it attracts money.

Better do that in the afternoon though as this is when the funny money used to appear.


Pascal

[Pascal]

Tech under pressure as each price bounce is sold.


Pascal

[Pascal]

Market still rather weak today.
Lower prices do not seem to be attracting money, but things could change in the final hour.


Pascal

[Pascal]

Yesterday, the 20DMF turned to cash from a long position because it crossed below the -0.11% level while the Cumulative Tick was above its average.

We can below that this morning, the 20DMF turned back toward the Buy level



However, after the Trump Tweet on the Chinese trade issues, the market turned sought again, but this time, the Cumulative Ticks moved below its average line, triggering a short signal.



This does not look good going forward: we are in the middle of the earnings season and the Fed is done lowering rates until probably end of the Year. The question now is what will support elevated equities prices?