Stock Indices use a portfolio of representative companies (usually spanning major industries) to reflect the status of the whole stock market. There are basically three kinds: global, regional and national. Global indices include companies regardless of where they are traded. Regional indices include companies from a certain region and national indices include companies from a specific nation. Stock Indices are used to get an indication of the market's overall direction. Some analysts use them as a barometer of the underlying economy.
Indices can be comprised of tens to hundreds of stocks and each index calculates the weighted average differently. Some weigh the stocks equally (equal weighting), others take company size into account (capitalization weighting) and others use a hybrid method (modified capitalization weighting). Stock Indices are tradable entities themselves. A currency index is a measure of the value of a specific currency relative to other select currencies. Indices like the US Dollar Index or the Euro Currency Index are used to gauge the strength of those respective currencies.
Dollar index
Even though last weeks candle closed very bearish, we have reached support and the week ahead with all the FED releases, could bring about a change in direction for our index.
From Tuesday there will be a lot happening in America economically, which will bring a lot of volatility for this pair. During this volatility my eyes will be guarding the ...
We have some bearish divergence on the S&500 1D chart, so it's possible we could see a small to medium sized pull back on Monday.
The purple route is the more bearish route while the blue route is less bearish, just filling the gap from Sep 19-20.
I'm not really "bearish" on the stock market quite yet. I realize we are extremely overbought and I would advise ...
TA on weekly and monthly shows huge bear divergences on multiple indicators, if history repeats itself the market will correct 50% or so down to 15,000-18,000 :0 Putting my house up for sale!
The dollar index has broken the key support levels of 94.43.
It is currently retesting the broken support and facing rejections.
Hence we expect the dollar index to move south from here and reach the support levels of 93.73 and 93.37.
This is No 5th Wave. Look to the left of this chart to see what a real 5th Wave looks like.
At this point the index has reached the lower end of the price objective of a measured move, but could potentially trade higher towards 3000. This Primary cycle is running out time and should start entering its most bearish phase. We’ll know this upwards correction is ...
in daily us doller small come up and from retest it goes down.......so wait and watch ...on monday i see we get uptrend i us doller..may be tuesday or wednesday get us doller down..this only i analyse..
A Suspect Breakout for the S&P 500
AT40 = 52.7% of stocks are trading above their respective 40-day moving averages (DMAs)
AT200 = 56.7% of stocks are trading above their respective 200DMAs
VIX = 11.8
Short-term Trading Call: neutral
Commentary
The stock market is not quite out the (short-term) woods yet.
Last Wednesday I pointed out why the latest bearish ...
The strong volume we had on Friday has peaked my interest. And a massive drop on Monday would not surprise me. Either somebody is selling the top, or I am unaware of some logical reason for this surge of volume. It's never possible to try to call the absolute top without making constant predictions, but I would like to try. Monday will mark the end of the bull market.
With DXY, we are into a continuation of a downtrend which will continue further to make a inverse head and shoulders on a weekly time frame from where we'll again see dollar rise.
But for now, as we move forward for the next week, if the price tests 94.35 price zone, it will be a nice place to look for bearish price action in DXY with the target for the week at ...
