Midday Market Commentary For 07-10-2014
Midday markets recovered fractionally from the morning opening salvo but remains down over a half point and the DOW off triple digits.
By noon the volume was falling to anemic levels, averages were trading sideways and investors are asking what the heck is going on? Traders are becoming increasing concerned about a possible correction in the near future.
The medium term indicators are leaning towards the hold side at the midday. The all important signs of reversal, up or down, have not been observed so we are mostly, at best, neutral and conservatively holding. The important DMA’s, volume and a host of other studies have not turned and that is not enough for me to start shorting. The SP500MACD has turned down, but remains above zero at 12.92. I would advise caution in taking any position during this volatile period.
Barchart.com shows a 88 % buy. (Been at 88% for 4 sessions, methinks the meter is broken) Investing.com members’ sentiments are 57 % bearish and Investors Intelligence sets the breath at 69 % bullish with the status at Bear Correction. (Chart Here *)
The markets are still susceptible to climbing on ‘Bernankellen’ vapor, use caution!
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The DOW at 12:00 is at 16889 down 96 or -0.56%.
The SP500 is at 1963 down 10 or -0.51%.
SPY is at 196.13 down 1.01 or -0.52%.
The $RUT is at 1159 down 15 or -1.28%.
NASDAQ is at 4390 down 29 or -0.66%.
NASDAQ 100 is at 3875 down 18 or -0.46%.
$VIX ‘Fear Index’ is at 12.45 up 0.80 or 6.95%. Neutral Movement
