Market Analysis for 11/30/2009

In addition onto my report 2 weeks ago of the market reaching a turning point, all the major US banks in the US had been trending down since 2 weeks ago. It was as if they were anticipating some kind of catastrophe occurring way before it actually happened.

However a look at the 3 major indexes in the US now, we can see that all the major indexes are still in a bullish setup.

Dow Daily



Dow is the most bullish of the indexes. It needs to break and stay below the psychological support of 10,000 for the market to be considered bearish.

S&P Daily



Needs to break and stay below 1,073 to be considered bearish.

NASDAQ Daily



NASDAQ is considered the most bearish of the indexes and it is still slightly above the 50 day moving average which is acting as a strong support. It needs to break and stay below 2,130 to be considered bearish.

There is a good chance that the markets may bounce off their respective supports and continue rallying. However the momentum of this rally had been fading out for weeks and a correction had been long overdue. The non farm payroll will be out next week and the market’s perception of it should greatly affect the markets, especially since its in an undecided state now.