Stock market successful retest or topping out......

Stock market ended the week on a promising note on Friday.

Until close on Friday stocks, markets and charts were looking very weak.

Before we analyze further, let us look @ RSI which always gives me a better read :

XLF                54.83

TAN                52.82

RUT               48.59

S&P 500        46.24

Nasdaq          45.51

SOX               43.72

DOW             41.26

IF we analyze above RSI numbers, it gives the feel of either oversold condition or a TAPE which is weak and getting weaker 

Every sector of this market either came close to 50 DMA , tested it or are in the process of topping out......

NOT a healthy picture @ all.

Any bounce from these levels to upper range should be sold...

There are not many catalysts left as earnings are out of the way.

China US trade talks are stalled.

Political mud slinging have started.....

Any gains need to be booked between now and next two weeks.

Oversold bounce will be just a bounce.

Most sectors are showing weakness.

Key stocks are showing weakness.

Good luck with your own analysis and comfort level.

BLOG does NOT give buy or sell.

Saleem

Posted in: Mixed