Today's interesting charts
Comment of the Day

December 20 2011

Commentary by David Fuller

Today's interesting charts

Charts soon reveal the trends which many investors later follow.

David Fuller's view Germany's DAX Index (weekly & daily) checked this month's slide with an upward dynamic today. Upside follow through on Wednesday would signal further short covering and establish another higher reaction low. However, a break in the progression of lower highs is required for additional evidence of base formation development.

USA's S&P 500 Index (weekly & daily) checked its decline with a big upward dynamic today and upside follow through would confirm another higher reaction low. However, a break back above the 200-day MA and also the early-December rally high is required to provide further evidence that demand is regaining the upper hand.

USA's Nasdaq 100 Index (weekly & daily) continues to show relative strength and a move above the early-December high would provide further evidence that demand is beginning to outweigh supply.

USA's Transportation Average (weekly & daily) is likely to test psychological and lateral trading near 5000 once again following today's upward dynamic. A close above that level for more than a day or two would increase scope for a challenge of the important highs just over 5500.

USA's Dow Utilities Average (weekly & daily) remains in a gradual upward trend and a close beneath 420 would be required to question current scope for further sideways to higher ranging.

Conclusion - Today's upward dynamics are a challenge for the bearish consensus.

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