What You Need to Know About SPX, NYSE and GDX

SPX Monitoring purposes; Long SPX on 12/27/17 at 2682.62.
Monitoring purposes GOLD: Long GDX on 12/20/17 at 22.49
Long Term Trend monitor purposes: Neutral.

Tuesday the Tick closed at -216 and yesterday the TRIN closed at 1.42 and a short term bullish combination. Yesterday we said, “The above chart is the SPX on a two hour timeframe. The pattern forming over the last several days appear to be a “Flag”. “Flag” pattern normally appear at the half way point of the move. If that turns out the case this time, it would give a target for the next high near 2720 range.” We added the Bollinger Bands on the same chart and they have been pinching over the last several days suggesting volatility will be increasing. With the NYSE McClellan Oscillator gain strength from +26 yesterday to +47 today and above “0” suggests the break will be to the upside. Long SPX on 12/27/17 at 2682.62.

 

 

 

 

 

 

 

 

 

 

 

 

The bottom window is the NYSE Up Volume. When NYSE up Volume falls below +200 the market has been near a short term low. The chart above goes back 9 months and the red vertical lines show when the NYSE Up Volume fell below +200. The current reading is +200.55 and at bullish levels. Long SPX on 12/27/17 at 2682.62.

 

 

 

 

 

 

 

 

 

 

 

The COT Commercials short position stood at 128K last week; up from 119K the week before; still in bullish levels but less so than a week before. We showed the monthly pinching Bollinger Bands on GDX and GDX/GLD ratio in the past, which suggested a bullish longer term scenario. Above is the weekly GDX and GDX/GLD ratio with its pinching Bollinger bands suggesting volatility will be increasing in the weeks to come. Normally low volatility precedes high volatility times and suggests 2018 could be a very good year for gold stocks. With the weekly RSI >50 and rising, GDX is on a buy signal and is expected to get stronger in the coming weeks. Support lies near 2.75. Long GDX on12/20/17 at 22.49.