Monday Morning Index Commentary

The September NASDAQ 100 was lower due to profit taking overnight as it consolidates some of the rally off June's low. Stochastics and the RSI are diverging but remain bullish signaling that sideways to higher prices are possible near-term. If September extends the rally off July's low, monthly resistance crossing at 2847.00 is the next upside target. Closes below last Tuesday's low crossing at 2742.75 would confirm that a short-term top has been posted. First resistance is last Friday's high crossing at 2836.25. Second resistance is monthly resistance crossing at 2847.00. First support is the 20-day moving average crossing at 2774.08. Second support is last Tuesday's low crossing at 2742.75.

The September S&P 500 index was lower due to light profit taking overnight as it consolidates some of this month's rally. Stochastics and the RSI are bullish signaling that sideways to higher prices are possible near-term. If September extends the rally off June's low, weekly resistance crossing at 1472.56 is the next upside target. Closes below the reaction low crossing at 1395.40 are needed to confirm that a short-term top has been posted and would open the door for additional weakness near-term. First resistance is last Friday's high crossing at 1438.50. Second resistance is weekly resistance crossing at 1472.56. First support is the reaction low crossing at 1395.40. Second support is the June-July uptrend line crossing near 1377.21.

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2 thoughts on “Monday Morning Index Commentary

    1. I don't know how many people realize the pounding the Greece stocks have taken, but they have been in a bear market for about two years. It may sound ridiculous but the ETF GREK is at 100+ right now in market club, and has been a recommended by to me. I'm already up; however, there may be a pullback in October or November, another opportunity to buy. It pays a dividend as well. Gold and Silver are also in a bull market right now. The miners have been hit especially hard so may have more opportunity for a move up.

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