DJI and S&P 500 - Non confirming top

DJI and S&P 500 non confirming top

Yesterday we saw another new all-time high for the DJI index and once Again the S&P 500 index did not confirm the top. We have now seen four new all-time high days in the DJI, which has not been confirmed by the S&P 500. Non Confirmation is an old but quite reliable signal.

However, trusting this signal alone is not advisable, therefore I would like to see a break below the ending diagonal support-line near 16,915 and more importantly a break below support at 16,805.38 in the DJI as Confirmation, that a top is in place here.

For the S&P 500 index I would like to see a break below support at 1,952.86 and more importantly a break below support 1,944.69, which will indicate that a top is in place.

Once the tops are confirmed, that should terminate the rallies from March 2009 and we should be looking for major declines.

 

Duane
2014-08-29
Hey EWS,

Great work on the GBPCAD and the NZDCAD. These are the type of opportunities that I am looking for, monthly turns caught with daily or hourly entries. Easy money!!

Duane
Thomas
2014-05-28
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Duane
2014-05-26
Great job this week!! Wish that I had more capital to capitalize on all of your great calls! The ones that I have managed to catch have been extremely profitable. I really appreciate you sharing you v...