Market Outlook entering the Week of Dec 14th = Mixed

MOVING AVERAGES

• Short-term (20 DMA): Downtrend
  All the major stock market averages ended the week below their 20-day moving averages.

• Intermediate (50 DMA): Mixed
  The Russell 2000 and Nasdaq closed above their 50-day moving average, along with the DJIA and the S&P500 (although just barely).  The NYSE closed below the 50-day moving average.

• Long-term (200 DMA): Mixed
  The NYSE closed below the 200-day moving average, while the other major stock market averages ended the week above the 200-day moving averages.

COMMENTARY
Volume/price analysis of the major indexes moved from a confirmed uptrend to an uptrend under pressure, adding another 2-3 high-volume selling days to the count for a total of 4-5 (depending on the index).

Elliott Wave Analysis shows an intermediate downtrend is underway, but how long and how much remain are uncertain.

Time to prune that low-hanging fruit from your portfolio by selling investments that are showing signs of technical and/or fundamental weakness (breaking key support levels, lowering future revenue predictions, missing quarterly earnings, etc.).

Key S&P500 price levels to watch:

• Resistance: 2,019 / 2,070
• Support: 1,956 / 1,973

Elliott Wave Analysis from the ELLIOTT WAVE lives on by Tony Caldaro

2014-12-14 – US Stock Market Averages