State of Dow Jones - Calendar Week 42 2021

Hi folks! Welcome to another part of the blog post series State of Dow Jones for Calendar Week 42 2021 Part three already. This week has been incredible for those that invested into the Dow Jones. But how healthy is the current price development and what's the outlook?   Technical Chart for Dow Jones Every "State of Dow Jones" blog post should start with the technical chart, so here we go (created on   The Dow Jones managed to trade above its SMA 20 and also overcame the turquoise trendline / flag which happened to be at the 35 000 resistance level, which became a support shortly afterwards. The index only knew one direction during this week - upwards. The current price movement stopped a few points above the old all-time high and within the upper Envelope band. On the daily time frame, the index now looks slightly overheated. For now, the old all-time high around 35 631 holds, but it wouldn't be a big surprise if there was a small pull-back before t

18th August 2021 S&P500 Dow Jones Nasdaq 100 Market Breadth


Fed minutes causing drops in major US indices

Today's published Fed minutes indicate that there are thoughts about ending the money flood this year instead of next year or the year after. This led to a small sell off.
Now, market breadth data - including today's trading day - is interesting.
All three major US indices that are listed below - the S&p 500, the Dow Jones and the NASDAQ 100 - reached extreme values for their Advanced vs. Declined data.
Usually, if such an extreme is reached, there is at least a small reaction in the opposite direction.
It will be interesting to see on Thursday if the markets realize that today's news weren't so bad at all. Will the markets calm down tomorrow?



S&P 500


For S&P 500, the McClellan Summation Index is still in a good place. The short-term indicator McClellan Oscillator, however, is negative the second day in a row.

Dow Jones

The Dow Jones McClellan Oscillator has a negative value again, after being positive for 8 subsequent trading days. The McClellan Oscillator is still positive, but is also not so far away from the zero line.

Source for market breadth data:




For Nasdaq 100, the McClellan indicators show an ongoing negative trend. Will this development continue since the Fed minutes were actually bad news for the tech sector?

Source for market breadth data:


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