Stocks indexes rallied on Friday. On the NASDAQ/QQQQ the low on Thursday came right down to the slower moving average (darker blue line) and held there almost to the tick, closed higher than the open and well off the low, and the rally carried through on Friday. Momentum is oversold and starting to turn up. I had thought and posted that the path of least resistance would be up, and then of course the market promptly went the other way and fell apart. However, as long as support held and trend remains higher, that scenario is still valid in my view. These market can and do flip back and forth very quickly and anything can happen. All I can do is weight the odds and use good money management when wrong.
The Crude Oil chart to the right shows the recent rally going right up to the declining moving average, again almost to the tick, then finding resistance, and turning lower with momentum turning back down from the overbought area.
I just upload the new version of the Word Press software that I use for this blog. I’m still trying to figure out how this all works. I did make a change to the pages that the articles are on. Now there is a choice to make the article appear in a printer friendly format so the sidebars and comments don’t have to get printed. I’m still working out the details.