Weekly Broad Market Weather Report: Gloomy

Cheers to the end of 2015 which ended down (Dow -2.2%, NYSE - 6.4%, S&P -.7%) with the exception of the NasDaq which ended the year with a 5.7% gain. 

Look at this chart off Google Finance and you can see the indexes moved in concert to each other however, the Nasdaq won the race.

 

The weekly indicators for the last week of the year are showing continued weakness. Those that had improvement last week popped back down this week. I continue to remain on the sidelines and wait to see what 2016 will bring us! 



1 - 3. Major indexes vs. their 30 week moving averages.The trend is still down even if they are slightly above their moving average line, it is a weak showing and note the moving average lines are sloping down, not up.

4. Convergence of NYSE AD and DOW. Both moved down this week.

5. NYSE 200 day Moving Average. This indicator was up for a bit, but moved underneath its moving average this week.

 6. NYSE 52 Week High vs. Lows. This indicator popped up this week, but we need more than one week to make a trend.

7. NYSE 52 Week High Low vs. Dow Convergence/Divergence. This week the NYSE eeked out a positive differential (see above chart in #6), while the Dow moved Down (see #1). This is can be a positive signal but this week the change is small and note the overall trend is is weak. 

8. International Markets. The Global Dow is still way below its 30 week moving average.

 9. Cost of a Dividend on the DOW.  Still costly at 39.22

That wraps it up! I am patiently sitting on the sidelines. This is a good time to scout out potential new stocks and to get some reading in. Happy New Year!