Major Markets Trending changes
We are 3 trading days into the week, and I wanted to check if there are any changes in the trending of the major markets.
No change in the S&P 500.
No change in the NASDAQ.
The Russell 2000 price has just dipped below its 10-day moving average.
China FXI turned short-term bearish with the 10-day dipping below the 20-day moving average.
The EAFE index EFA price dipped below the 20-day moving average.
Emerging Markets EEM turned short-term bearish with the 10-day dipping below the 20-day moving average.
The Dow Jones Industrial Average DJI price has just dipped below its 10-day moving average.
So, we can see that there is some degradation in the trending from the end of last week. Below was how the trending heat map looked like at that time.
From a performance perspective, The S&P 500 recent high was on Feb 2 last week Thursday when it closed at 4179.76. Yesterday it closed at 4117.86 which is -1.48% lower than the Thursday close.
The NASDAQ is down -2.38% from its Thursday close.
The Volatility Index VIX touched 17.87 last week Wednesday which was a recent low. It has now creeped up to 19.27 which is +7.83%.
Conclusion:
The markets have softened a little and some of the major markets trending seem to be weakening. However, with the volatility still at low levels this could just be a natural breather that the markets are taking.
I am positioned short in the market and will see how the 2 remaining trading days of this week plays out before making any big adjustments.