Shown is the weekly graph of the DJIA. The blue line is the 13 week moving average. It will provide resistance for the trend going up. It appears to be a double top and the weekly chart should turn and go backdown around 13,600. If it does turn expect it to continue down.
The S&P 500 shows very similar results. Anticipate it going to 1500 and then turn. The stochastics are both showing oversold and should be purchased now. Once again the 13 week moving average is fairly flat.
The Nasdaq may consolidate for a while but then trace out a head and shoulders pattern and go back down . The shoulder will be at a little above 2700 and then will make a sharp turn back down.
The last one is the Russell 2000. Expect the price to be slightly above 780 before it turns down again. I will be watching for the change to start selling short.
In general we are in a downtrend and should be treated as such.
The S&P 500 shows very similar results. Anticipate it going to 1500 and then turn. The stochastics are both showing oversold and should be purchased now. Once again the 13 week moving average is fairly flat.
The Nasdaq may consolidate for a while but then trace out a head and shoulders pattern and go back down . The shoulder will be at a little above 2700 and then will make a sharp turn back down.
The last one is the Russell 2000. Expect the price to be slightly above 780 before it turns down again. I will be watching for the change to start selling short.
In general we are in a downtrend and should be treated as such.
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