Market Outlook entering the Week of March 8th = Uptrend @ Risk

MOVING AVERAGES

• Short-term (20 DMA): Sell Signal
  With the exception of the NASDAQ, all the major stock market averages ended the week below their 20-day moving averages.

• Intermediate (50 DMA): Uptrend
  With the exception of the NYSE, all the major stock market averages remained above their 50-day moving averages.

• Long-term (200 DMA): Uptrend
  All the major stock market averages remained above their 200-day moving averages.

COMMENTARY
U.S. equities struggled to increase in price this week, and high-volume selling dominated Friday’s trading session for the second week in a row.  Not the market action investors want to see during an uptrend.  Adding a sell signal from the 20 DMA tells us that it’s time to be cautious with new and/or additional stock buys.

Intermediate-term Elliott Wave Analysis support and resistance levels fell slightly, reflecting the past week’s weakness:

• Resistance: 2,085 / 2,131
• Support: 2,019 / 2,070

Sources:

For the detailed Elliott Wave Analysis, go to the ELLIOTT WAVE lives on by Tony Caldaro.  For price/volume data, head to stockcharts.com.

2015-03-08 – US Stock Market Averages

Moving Average Signals:

• Uptrend=Market indexes remained above their moving average during the trading week
• Downtrend=Market indexes remained below their moving average during the trading week
• Buy signal=Market indexes fell below their moving averages during the trading week
• Sell signal=Market indexes rose above their moving averages during the trading week