• 2 days The New World Tax Order
  • 3 days Is Crypto Finally Ready To Pay The Piper?
  • 5 days Is It Time To Buy The Global Gaming Market Dip?
  • 8 days Even The Mafia Has A Millennial Problem
  • 10 days Zuckerberg Loses Billions in Social Media Outage
  • 11 days ‘Pandora Papers’ Leak Reveals More Financial Crime
  • 11 days US Retail Has A Major Supply Chain Problem
  • 15 days China Has Set Out To Crush Crypto...Again
  • 16 days Top Performing Cannabis Stocks of the Year
  • 17 days Millennials Could Power A 20-Year Bull Stock Market
  • 22 days The Million-Dollar Question: Will China Bail Out Evergrande?
  • 23 days 3 Restaurant Stocks In Full Recovery Mode
  • 24 days Bitcoin Is Driven By Testosterone
  • 28 days Quantum Computing Is The Newest Megatrend In Silicon Valley
  • 30 days How To Invest In The Cybersecurity Boom
  • 31 days Investors Are Patient With Unprofitable Giants
  • 33 days Wells Fargo Back In The Scandal Spotlight Once Again
  • 35 days 5 Stocks To Keep A Close Eye On This Year
  • 37 days As Auto Giants Flail, Look To Chip Stocks For Gains
  • 37 days Central America Is Ready For The Bitcoin Hustle
  1. Home
  2. Markets
  3. Other

The Bulls Are Excited Again

With new highs in the S&P 500 last week the bulls are excited again. Never mind the fact that the Dow industrials index is still well below its 9/18/13 high. When determining the health of the broad market technicians like to "look beneath the hood" to the performance of individual sectors particularly the more cyclical groups.

One of the most important leading sectors is semiconductors. As the S&P 500 - and even the tech-heavy NASDAQ Composite - were making new highs, semiconductors gapped down on Wednesday. Note how Tuesday's high (and previous highs) came with a negative divergence in the daily Coppock Curve. A break below 480 will confirm the top.

Semiconductor Chart
Larger Image

You don't have to be a semiconductor investor to find the above observation to be of interest. With the exception of Consumer Staples, telecom, and utilities, every one of the ten GIC sectors indexes is seeing negative divergences in their Coppock Curves in both the daily AND weekly charts. Of course telecom and utilities are nowhere near their old highs. The negative divergences seen in the Coppock Curves of all the leading sectors is a bearish omen for the broad equity market.

 


Take a "sneak-peek" at Seattle Technical Advisors and get a 30% discount on a trial subscription for this week only, when you say you received this offer through Safehaven.com.

 

Back to homepage

Leave a comment

Leave a comment