Paul Shread

With the market firmly overbought, with stochastics above 90 on all the index charts, and all the indexes at resistance, we would not be surprised to see a pullback or consolidation soon. The Dow (first chart) is struggling at 8800 resistance; if it can close above that level, the index could be headed for its […]

Stocks paused on Friday to digest Thursday’s big gains. The Nasdaq gained 2 to 1387, the S&P 500 slipped half a point to 908, and the Dow lost 5 to 8601. Volume declined to 1.12 billion shares on the NYSE, and 1.15 billion on the Nasdaq. Advancers led 17 to 14 on the NYSE, but […]

Nothing to glean from today’s action: doji candlesticks (no change on the day) on declining volume reflect indecision, which is to be expected after yesterday’s big up day. A down day on Monday would suggest that a pullback could be coming, while a 2% gain in higher volume next week would confirm the rally attempt. […]

A powerful rally today, with the most interesting aspect the 90% upside volume on the NYSE. Coming almost three months off the October lows and four months after the last 90% downside day, today’s 90% upside day could be more a sign of too much bullish sentiment than the start of a good rally, and […]

The first sign of growth in the manufacturing sector since August got stocks off to a rousing start to the new year. The Nasdaq soared 49 to 1384, the S&P 500 surged 29 to 908, and the Dow soared 265 to 8607. Volume rose to 1.23 billion shares on the NYSE, and 1.29 billion on […]

Note: The Technical Analysis will return on January 2. Happy Holidays. Not much of a rally so far heading into what is historically a positive period. The Dow and S&P (first two charts below) may be forming bearish broadening patterns over the last couple of weeks, suggesting the potential for more downside, perhaps after one […]

Tech stocks posted strong gains on Monday, but blue chips were held back by weak retail sales and war fears. Note: The Market Close will return on January 2. Happy Holidays. The Nasdaq rose 18 to 1381, the S&P 500 added 1 to 897, and the Dow slipped 18 to 8493. Volume fell to 1.1 […]

Encouraging words on the economy from Fed Chairman Alan Greenspan sent stocks higher on Friday. Better than expected earnings from Nike also helped, and a settlement between regulators and Wall Street firms boosted financial stocks. Volume was heavy as stock and index options and futures expired and indexes were reshuffled. The Nasdaq rose 8 to […]

Today may have marked the start of seasonal strength, but the evidence so far is mixed. The reversal in NYSE new highs-new lows was very positive, but an 80% upside volume day would have been even better. And the relative lack of participation by tech and chip stocks was a negative. The Dow, Nasdaq and […]

Comments by the U.S. that Iraq is in “material breach” of the UN disarmament resolution raised war fears on Thursday. The Nasdaq fell 7 to 1354, the S&P 500 lost 6 to 884, and the Dow dropped 82 to 8364. Volume declined to 1.36 billion shares on the NYSE, but rose to 1.66 billion on […]

The Dow, Nasdaq and S&P all held support today, and with internals holding up and bearish sentiment running high, the stage could be set for a bounce soon. As of tomorrow, the first quadruple expiration will be out of the way (stock and index futures and options), and starting next week, the market enters a […]

Tech stocks were roughed up Wednesday after Micron missed estimates by a wide margin, but Oracle and Palm offered some hope after the close. The Nasdaq fell 31 to 1361, the S&P 500 lost 11 to 891, and the Dow dropped 88 to 8447. Volume rose to 1.39 billion shares on the NYSE, and 1.53 […]