Indian stocks continue to climb despite rising oil prices thereby continuing a 25 year trend, says Tarun Dang at Trendwise Capital Management. A positive price correlation between Brent crude and the CNX Nifty appears to contradict the view that higher oil prices are negative for stocks.
Peter Lee at UBS presents individual technical analysis of the current most interesting US stocks. Included is bullish medium-term outlooks for Apple and Boeing, while Google continues to enjoy support after this year’s early dip.
Divergence between the S&P500 and the retail sector within it is a red flag that the market may be nearing a top, says Riccardo Ronco at Aviate Global. Although the trend in the overall market remains bullish for the present, the 52-week % spread of retail/S&P has fallen sharply since the start of the year.
An increase in NYSE margin debt, as the US stock market continues to rally, could be at a turning point suggesting a possible top in stocks, says Max Knudsen at ADS Securities.
The uptrend in the S&P500 is still intact, according to Andy Dodd at Louis Capital Markets, despite recent calls of an approaching top in US stocks. Apart from Fibonacci levels, prices face no significant resistance levels going forward, he says.
Peter Lee at UBS looks at the relative performance of the key stock markets and sectors and how the S&P is performing in relation to the business cycle, the secular bull market and the cycle of market psychology.
The rally in the iShares MSCI All Countries World Index Fund since the low of March 2009 looks to be approaching a top based on Fibonacci ratios, says Edward Loef of Loef Technical Analysis.
A correction in the S&P500 is a question of when, not if, says Ari Wald at Oppenheimer. A narrowing of internal breadth has signalled an immanent correction as the number of net new 52-week highs on the NYSE has been in decline since March.
Developed market (non-US) equities are bottoming versus US equities and are becoming an increasingly attractive asset class, according to Ari Wald at Oppenheimer. Since 2007 the MSCI EAFE index has underperformed the S&P500 by 35%.
Long-term signals for the S&P500 are bearish even though the uptrend remains intact, according to Andy Dodd at Louis Capital Markets. Resistance exists at 1881 and 1887.5 although significant support at 1832 and 1812 needs to be breached for a meaningful reversal.