Weekend Report for Monday, July 15
Bottom Line:
From last weekend’s update:
The immediate levels that are important are highlighted on the charts. This is a wonderful time NOT to overthink this; let price action be your guide.
The predominant assumption appears to be that the current spate of divergences is signaling a top of significance. This may be true, BUT…..if these divergences resolve themselves differently than most are assuming they will then we could actually see acceleration UP very soon.
So, back to actual price action. If the DOW, RUT, NYA begin taking out upside levels it is likely the current divergences are going to resolve bullishly.
The broadening of the rally in the US stock market as evidenced by the late week strength in the DOW, RUT, NYA and equal weight SPX is potentially quite bullish.
IF the bullish thesis is correct last week’s lows in the primary indices should hold on any retracement.
PDF: Weekend Report_2024_07_14
VIDEO: https://youtu.be/ynuAYkVtBRY
SPX
Upper KRA: 5656
Lower KRAs: 5578; 5448
NDX
Upper KRA: 20690
Lower KRA: 20165
DOW
Upper KRA: 40258
Lower KRA: 39623
RUT
Upper KRA: 2164
Lower KRAs: 2051
New York Composite
This is an index of every stock listed on the NYSE, so it is a broad composite view.
Upper KRA: 18596
Lower KRAs: 18383
Internals
From last weekend’s update:
This can’t get any closer to “something has to give”.
Breadth is expanding and trending higher.
US 10-yr. Notes
Notes are making higher highs and lows intermediate-term.
US Dollar
Between significant levels. Recent conviction is strong, down.
Gold
No change: Getting “overdue” for a test of either upper or lower critical levels.
Crude
Short-term trend is up.
