This page contains references to products from one or more of our advertisers. We may receive compensation when you click on links to those products. For an explanation of our Advertising Policy, visit this page.
Stock Market Outlook For The Week of
March 18th = Uptrend
INDICATORS
20/50 Day Moving Averages: Uptrend
Price & Volume Action: Uptrend
Objective Elliott Wave Analysis: Uptrend
The stock market outlook remains in uptrend territory to kick off the first week of spring. All eyes will be on the U.S. Federal Reserve this week; another quarter-point rate hike is expected by the end of their 2-day meeting.
Most of the indexes remain above their 20 and 50 day moving averages. The DJIA lags other averages, sitting below both those technical indicators.
2018-03-18-US Stock Market Averages
Price and volume action also stays in uptrend territory. The distribution day count remains manageable. Note: Trading volume spiked last Friday on option / futures contract expirations.
OEW remains in an uptrend. In a nod to the bulls, Tony no longer sees a massive sell-off anytime soon, stating:
I'm looking for a potential replacement for the 20/50 day moving average; an indicator that works well when markets are volatile and/or extended from trending indicators such as moving averages. The Average Directional Index (ADX) caught my eye because it flashed a sell signal for the $SPX just ahead of the February sell off. At the moment, it's showing a bearish environment (DI- is higher than DI+) that's weakening (ADX is declining).
You can check out how well (or poorly) the outlook has tracked the market using past performance estimates:
For the detailed Elliott Wave Analysis, go to the ELLIOTT WAVE lives on by Tony Caldaro. Charts provided courtesy of stockcharts.com.