First of all, I apologize for the lack of posts lately, have been really busy at work, however, the market is also congested and I prefer to see when I see a group of charts/instruments displaying some significant patterns… let’s start with our Top Down market analysis in order: US Markets, Foreign Markets, Sectors, Gold/Oil and Currencies…
The Dow Jones Index (INDU)
The index continues on a consolidation and we should wait and see which direction will choose. It looks as it will breakout to the upside… from there we could have a fake breakout which would take us at and below 11,750 or to the resistance at 13,000… right now, it looks congested to me…
Foreign Markets
The TSX (Toronto Stock Exchange) looks very strong when compared to the Dow jones, Xinhua and SSEC (Shanghai Stock Exchange).
Sectors
Most of sectors are mirroring the major indices, not too exciting right now with a few exceptions…
Bullish - Oil Services ($OSX), Energy (XLE)
Bearish - Semis ($SOX)
Gold and Crude
Both going very strong with the crude at the perfect $100 point…I pointed the possibility in this post (Jan 8, 2008)..
Currencies
The US dollar is still stuck in a range,after bouncing from the $77 level while the Canadian Dollar seems to be favouring the downside…
Bearish - Canadian Dollar, British Pound
Bullish - Yen, Australian Dollar, Swiss Franc
That’s all for tonight folks ! Have a good night.
