Crypto Market Barometer released on advance-decline.net

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  Crypto Market Barometer released Today I published my simple but easy-to-read Crypto Market Barometer on our website https://www.advance-decline.net. Click here to get to the new Crypto Market Barometer. This is how the main chart looks like: What's behind the new Crypto Market Barometer We believe that one simple but effective method of gauging the health of a market is to look at how many of the most important individual assets trade above their important SMAs. Since SMAs are a proven way of determining the current trend, a market must be in an uptrend, if more than 50% of its biggest assets trade above their long-term SMAs. If they trade below their long-term SMAs, they must be in a downtrend. For the crypto market, I decided to check the popular BitPanda Crypto Index BCI10. It contains the 10 biggest crypto currencies by market capitalization, and frankly, by only looking at BitCoin, Ethereum, Polkadot and maybe Binance, we already have most of the market covered (again, in

Dow Jones somewhat in the middle of nowhere

Dow Jones somewhat in the middle of nowhere


 
Technical chart (1h) of the Dow Jones index
Source: tradingview.com 

The Dow Jones remains on a high level in a sideways phase for roughly 10 consecutive days. The SMA 20 (orange line) works as a stabilizer for now, although we've seen a dip beneath this line during the day.

The Dow Jones also moves within a trend channel  (see image above). Right in the middle of this channel another trendline emerged, at apparently the SMA20 and this "middle trendline" come close today. So for now, this area seems to be a strong support. 
 
You know that I am a big fan of the Envelopes indicator, since it is a very simple way to find out if an index is overheated or not. I've added a very simple version of the Envelopes to the chart above. As you can see, it confirms that the Dow Jones seems to be in the middle of nowhere because the price dances around the middle of the Envelopes as well (and the middle is the SMA 20 line).

The red lines at ~ 35 100 and 35 500 mark old highs. You can see that they define the current trading range. It is very likely that the lower red line is an area of good support, so if the Dow Jones falls beneath the SMA 20, there is a good chance that the area around 35 100 would bring enough stability.

Market Breadth Data for Dow Jones


 
 

The Advance Decline Lines follows the index and shows no big divergences.

The Advanced vs. Declineddata is below the zero line again.

The McClellan Oscillator is negative again, after being above the zero line for one day.

The McClellan Summation Index declined again, being below the zero line for seven days in a row.

Summary 

On a very high level, the Dow Jones floats within a limited trading range. While being in an upward trend on the long-term, the short-term perspective is neutral with a little touch of "bullish stability". 
Honestly, it might already be a bullish thing that the Dow Jones had no real sell off during the last weeks, despite the weak seasonality and the geo political troubles.
 

 




 

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