Major US indices closed this week with strong bullish candles. At least one more week of higher prices is expected. Let’s have look into details.
The upper row – daily candles, the bottom row – weekly.
Both weekly and daily formed a bullish Inside Up combos. Higher prices are ahead, though be aware of that possible hard stop at $2350.
The preceding bearish weekly and daily candle were fully canceled by the corresponding candles today. Expect a green path for the next week.
On August 23 I issued a swing buy signal for $SPS, targeting $4580-4600 for the next 1-3 weeks. The signal survived the mid-week weakness and still stands. It will be tested for one more cycle and then be added to the service, being visible to subscribers only.
NDX’s candle structure is very similar to the one of SPX.
DJI was the weakest. It barely met criteria for canceling the bearish odds. This could possibly mean that DJI is setting up for a moderate rally or even a horizontal move.
We will see.
Overall, the Market Pulse is strongly bullish. Expect higher prices in the next week.
And the final note. As the monthly candles will form in the middle of the next week, we might see some surprises on August 31, depending on the Mr. Market intentions for September.
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