• WDM trades worth Rs 1158.99 crore on NSE Sep 5th, 2008, 22:47 - APD (Length: 1429)
• China's central bank strapped, sources say Sep 5th, 2008, 16:27 - UPI (Length: 1235)
• McGraw stays out of school health benefit debate: The real issue concerns how the debt is to be paid Sep 5th, 2008, 15:02 - KRT (Length: 7982)
• AOFM TO OFFER US$328 MLN WORTH OF AUSTRALIAN TREASURY BONDS Sep 5th, 2008, 02:15 - APU (Length: 580)
• Boston Herald Peter Gelzinis column: Sarah Palin paints a familiar red Sep 5th, 2008, 01:43 - KRT (Length: 4286)
• AUSTRALIAN BOND MARKET OPENS FIRMER - SEPT 5, 2008 Sep 4th, 2008, 19:53 - APU (Length: 2832)
• Danbro: Stamp Duty Threshold Raised In A Bid To Help Buyers Sep 4th, 2008, 11:26 - MTO (Length: 2395)
• Canadian Dollar and Financial Outlook Sep 4th, 2008, 10:49 - RNI (Length: 1229)
• AUSTRALIAN BONDS OPEN FIRMER - SEPT 4, 2008 Sep 3rd, 2008, 20:24 - APU (Length: 2538)
• CO BONDS TOTALING US$293 MLN TO BE QUOTED ON SHENZHEN BOURSE Sep 3rd, 2008, 03:28 - APU (Length: 832)

[ More US Treasury News ]

Analysis

Fri 9/5/08

Bollinger Bands Indicator:

Conventional Interpretation: The Bollinger Bands are indicating an oversold condition. An oversold reading occurs when the close is nearer to the bottom band than the top band.

Additional Analysis: Volatility appears to be declining, as evidenced by a decreasing distance between the upper and lower bands over the last few bars. The market is in oversold territory.

Mov Avg 3 lines Indicator:

Note: In evaluating the short term, plot1 represents the fast moving average, and plot2 is the slow moving average. For the longer term analysis, plot2 is the fast moving average and plot3 is the slow moving average

Conventional Interpretation - Short Term: The market is bearish because the fast moving average is below the slow moving average.

Additional Analysis - Short Term: Even though based on conventional interpretation the market is technically bearish, we will not classify it as extremely bearish until the following occurs: the fast moving average slope is down from previous bar, the slow moving average slope is down from previous bar, price goes below the fast moving average.

Conventional Interpretation - Long Term: The market is bearish because the fast moving average is below the slow moving average.

Additional Analysis - Long Term: Even though based on conventional interpretation the market is technically bearish, we will not classify it as extremely bearish until the following occurs: the fast moving average slope is down from previous bar.

Mov Avg-Exponential Indicator:

Conventional Interpretation: Price is above the moving average so the trend is up.

Additional Analysis: Market trend is UP.

Stochastic - Slow Indicator:

Conventional Interpretation: The stochastic is bearish because the SlowK line is below the SlowD line.

Additional Analysis: The long term trend is UP. The market looks strong both long term and short term. The SlowK is at (63.86). A good upward move is possible without SlowK being overbought.

Swing Index Indicator:

Conventional Interpretation: The swing index has crossed zero, identifying this bar as a short term pivot point.

Additional Analysis: No additional interpretation.

Volatility Indicator: Volatility is in a downtrend based on a 9 bar moving average.

Volume Indicator:

Conventional Interpretation: No indications for volume.

Additional Analysis: The long term market trend, based on a 45 bar moving average, is UP. The short term market trend, based on a 5 bar moving average, is UP. Volume is trending lower. In general this is bearish.

Comm Channel Index Indicator:

Conventional Interpretation: CCI (17.94) is in neutral territory. A signal is generated only when the CCI crosses above or below the neutral center region.

Additional Analysis: CCI often misses the early part of a new move because of the large amount of time spent out of the market in the neutral region. Initiating signals when CCI crosses zero, rather than waiting for CCI to cross out of the neutral region can often help overcome this. Given this interpretation, CCI (17.94) is currently long. The current long position position will be reversed when the CCI crosses below zero.

MACD Indicator:

Conventional Interpretation: MACD is in bearish territory, but has not issued a signal here. MACD generates a signal when the FastMA crosses above or below the SlowMA.

Additional Analysis: The long term trend, based on a 45 bar moving average, is UP. The short term trend, based on a 9 bar moving average, is DOWN. MACD is in bearish territory. However, the recent upturn in the MacdMA may indicate a short term rally within the next few bars.

Momentum Indicator:

Conventional Interpretation: Momentum (-0.01) is below zero, indicating an oversold market.

Additional Analysis: The long term trend, based on a 45 bar moving average, is UP. The short term trend, based on a 9 bar moving average, is DOWN. Momentum is in bearish territory.

Open Interest Indicator: Open Interest is trending up based on a 9 bar moving average. This is normal as delivery approaches and indicates increased liquidity.

Rate of change Indicator:

Conventional Interpretation: Rate of Change (-0.01) is below zero, indicating an oversold market.

Additional Analysis: The long term trend, based on a 45 bar moving average, is UP. The short term trend, based on a 9 bar moving average, is DOWN. Rate of Change is in bearish territory.

RSI Indicator:

Conventional Interpretation: RSI has issued a bearish signal (RSI is at 84.72). When RSI crosses above the overbought line (currently set at 80.00) a sell signal is issued.

Additional Analysis: RSI is in overbought territory (RSI is at 84.72). However, the market may continue to become more overbought before a top is established. Look for a downturn in RSI before taking any bearish positions based on this indicator.

Stochastic - Fast Indicator:

Conventional Interpretation: The SlowK line crossed above the SlowD line; this indicates a buy signal.

Additional Analysis: The long term trend is UP. The short term trend is UP. Even though the stochastic is signaling that the market is overbought, don't be fooled looking for a top here because of this indicator. The stochastic indicator is only good at picking tops in a Bear Market (in which we are not). Exit long position only if some other indicator tells you to.

Important: This commentary is designed solely as a training tool for the understanding of technical analysis of the financial markets. It is not designed to provide any investment or other professional advice.

Note: The above analysis is computer generated from mathematical formulae, and is provided for educational purposes only. Neither the above, nor any information on this site is intended as a trade recommendation.