Thursday, April 16, 2009

Dow & S&P 500 market analysis for 04/16/2009 Thursday

Dow & S&P 500 market analysis

An evening star was formed at the top of the channel on daily charts two days ago for both indexes. While this is happening, there is a huge MACD divergence on the daily too. We are on our way down now. There will be 1-2 more days of resistance testing before we head down to the 50 day MA at 800 on the S&P.

Direction for 04/16/2009 Thursday: Down


Crude Oil (USO)

Both Crude and its ETF, USO are forming a wedge which may give way sometime early next week. I am still not sure which way it will give way yet, but from the looks of it now, it looks like it may break down to around 26 on USO.

Direction for 04/16/2009 Thursday: Sideways with decreasing volatility

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