- SPX Monitoring purposes; Long SPX on 3/24/17 at 2343.98.
- Monitoring purposes Gold: Sold GDX at 24.33 on 2/22/07 = gain 20.15%; Long GDX on 12/28/16 at 20.25.
- Long-term Trend monitor purposes: Neutral.
March 1 appears to have been a Buying Climax as volume jumped near 50% compared to volume days leading up to it. The March 1 high came in near 240 range (SPX 2400 range) and may develop into a resistance area if tested on light volume. The second window up from the bottom is the SPY/VIX ratio with a 2 period moving average. When this ratio turns up than SPY (NYSE:SPY) is outperforming the VIX (Vix down and SPY up) which is what happens when the market is in an uptrend. A possible upside target is the 3/1 high near 2400 range on the SPX. If the 2400 SPX range is tested on lighter volume could lead to a sell signal.
The second window down from the top is the Tick/Trin ratio with a 3 period moving average. Surges of this ratio past +800 after a bottom suggests an uptrend is starting. The Tick/Trin ratio off of the recent low rallied to +300 range. Previous readings reaching this level after a low formed produced weak rallies. It still appears the March 1 high may be tested but not much more suggested by the relative weak rally by the Tick/Trin ratio off of the recent low. A possible upside target is the March 1 high on the SPX near 2400.98. Long SPX on 3/24/17 at 2343.98.
The top window is the Bullish Percent index for the Gold miners index which is on a bearish crossover. Next window down is the RSI for GDX. RSI above 50 is a bullish condition for GDX and below 50 a bearish condition. The RSI at the moment is showing a bullish condition. Next window down is the On Balance Volume for GDX which is showing a bearish divergence. The bottom window is the GDX/GLD ratio which normally leads the way for GDX. Recently the GDX/GLD ratio is making lower highs as GDX is making higher closes suggesting GDX should start a pull back soon. Tomorrow is the minutes released for the Federal Reserve meeting at 11 AM Eastern and could have a short term affect on the markets. Momentum is key here. GDX holds up tomorrow and RSI moves higher than that would be bullish short term even with the negative divergences. The monthly charts for GDX remains bullish. Timer Digest has us ranked #1 in performance for gold over the last 12 months. Sold GDX at 24.33 on 2/22/17 = gain 20.15%; Long GDX on 12/28/16 at 20.25.