On a weekly chart, STI had formed a outside day and closed below Diff SL (3409.38), more potential downside. On a daily chart, if STI is unable to trade and close above the support (magenta dash) , STI may cover the gap (22 to 23 Jan). William %R is at the extreme, possible STI may have a rebound soon, whether it is a recovery or technical rebound to test lower, watch for price action.
Instruments that show buying interest from Dealer/Intermediary (sell-side participants)
- Dow (increased for 1st week)
- Nasdaq (decreased for 3rd weeks)
- S&P (increased for 1st week)
- Russell (increased for 1st week)
(1) COT Index > 90
Down Trend and Up Trend is based on 50 Simple Moving Average
On weekly charts, US markets continue to go higher. On daily charts, DOW and S&P look exhausted on the last 2 days of the week when broke PDL. I have some short positions on Dow and S&P to hedge against some of my long positions.