Week 19 (10th May-16th May): American Moo River Watch

Dow

(based on 30 year advanced data charts)

Yearly

This yearly rsi is taking time to get off the lowerbank of the ongoing downstream moo river. It needs to be watched.

All the other indicators are still pointing downwards, as price tangles with bollinger midline.

Quarterly

The bears are not dead and buried here. It is a mere bear market rally, as the bears love saying that for the past two years. A key challenge is coming, with pricing challenging 8800-9100 and rsi challenging 44. The momentum indicators are trying to bend up, but nothing significantly W'ish here.

Monthly

Where other indices have a beautiful W here on rsi, dow has oddly shaped W's all over the place. RSI is only 35.29, having come up through 30 the week before, which was a significant development.

Price is facing significant resistance near 9000 and rsi will be challenging 40.

Weekly

There is no stopping of the rampant bulls here, rsi is only 52 and still has room to go before it hits a ceiling near 61. All the other indicators are supportive and have further to go higher. A challenge of 9100ish is imminent.

Daily

We have finally reached 70 last week, a milestone in the change of sentiment from bearishness to bullishness, as we have been kept under 60 for a long time.

Near term, there may be some early weakness, but not much weakness there on daily rsi, perhaps to 60/61. Still, bears will be attacking that level to bring forth more of a pullback towards 40 rsi. Some vague M's there or to emerge on momentum indicators.

The coming week is a tricky one to predict. I am going for an early weakness towards 8350 and late rally towards 8850. If however, 8300 is broken, then we may get to 8050which seems to be unlikely for now.

good luck.