Market Timing Brief for the 9-05-2014 Close: Stocks Holding Gains. Gold Slipping with Rising Rates and Rising U.S. Dollar.

A Market Timing Report based on the 9-05-2014 Close, published Sunday September 7th, 2014

As I was nearing work on September 11th, 2001, the first plane struck 1 World Trade Center in Manhattan, just 1 1/2 hours away, instantly killing hundreds of people on impact, soon to lead to nearly 3000 deaths.  It is to them we owe a moment of silence this week.  Pause if you would and consider them for just one minute and then we’ll continue to the markets….

SP500 Index (SPX, SPY):

We are now 11 days past the first of two breakout attempts on the daily Sp500 chart.  The first breakout failed as you see below.  Now that we are at a new closing high, there is room above to about 2035 at the channel line if the Bulls want it.

sp500-index-market-timing-chart-2014-09-05-close

Eleven Days since the Last Breakout

Meanwhile, this week the investor sentiment data fits the 7-10-2013 scenario I outlined here (learn what the downside risk is):  Survey Says! What About Investor Sentiment?

U.S. Small Caps: Where are the small caps (RUT, IWM) at this point?  The small cap market is slowing down. We could see a dip here.  Is there room to run higher?  Yes, but as mentioned last week, valuations do NOT support such a movem although that has not always stopped rallies.

Let’s look at the small cap chart:

rut-small-cap-russell-2000-index-market-timing-chart-2014-09-05-close

Small Caps turning over for a fall?

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Gold:  GLD, the gold ETF, has fallen through a level of support.  The first red line below the current level on the chart below is now our target.

The Gold ETF Chart (GLD; click to enlarge the chart):

gld-gold-etf-market-timing-chart-2014-09-05-close

Gold is slipping.

The 10 Year Treasury interest rate (TNX, tracked by TLT if Bullish; TBT if Bearish): Rates have made a reversal back above a prior breakdown point.  They’ll need to rise a bit more to break the obvious down trend on the daily chart below.  If rates collapse back once more and the U.S. dollar fails, the metals will be supported.

tnx-10-year-treasury-note-market-timing-chart-2014-09-05-close

Rates are reversing upward from a previous break.

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I thank Worden Brothers for the charting system I use to post these charts.  If you want to know more about the charting system I use every day, go to my “Other Resources” page here:  Other Resources   It makes it much easier to follow along with me if you can see the charts and manipulate them on your own computer.  It’s a great investment to have an excellent charting system.  Check it out with a free trial at the link above.

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Copyright © 2014 By Wall Street Sun and Storm Report, LLC All rights reserved.

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This entry was posted in Bonds, gold, investment, large cap stocks, S&P 500 Index, small cap stocks, Treasuries and tagged , , , , , , , , , , , . Bookmark the permalink.

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