“When the media or so-called market gurus make scary predictions of crashes and bear markets, it is far better to dig beneath the surface to see if their claims have any validity. Digging beneath the surface to detect subtle changes in the market’s character is the purpose behind my weekly "Market’s Bill of Health" reports that come out on Friday, and currently I see no indication of a market top, let alone an approaching bear market.” Read the full analysis and commentary at…
Another negative: there is a rising-wedge that would indicate a bearish reversal ahead and I’ve shown that below on the 2nd S&P 500, 5-year chart.
IBM REVENUES DOWN 4%; DOWN 15% IN ASIA (Forbes)
“IBM reported more mixed earnings results on Wed. as Q3 revenue slid 4% year to year to $23.7 billion, though earnings narrowly beat Wall Street’s expectations at $3.99 per share…
...Analysts had warned in advance that the industry wide outlook for IT spending has not been a positive one between political instability and volatile currency rates. As the first “large IT vendor” to report Q3 results, Cantor Fitzgerald was expecting a canary in the coal mine type response. Right now that canary would be currently gasping for air.” Full story at….
Thursday, the S&P finished UP 0.7% to 1733 (rounded) at the close.
New-highs outpaced new-lows Thursday, leaving the spread (new-hi minus new-low) at +308 (it was +218 Wednesday). The 10-day moving average of change in the spread is plus 25.
The S&P 500 has made 4-closes to new highs over the past several months; but todays’ is only 1% above the new high made two-and-a half months ago on 2 August. That really makes today a triple-top because there was another intermediate high in mid-September. That is very negative for the market unless it can climb significantly above the old highs. So far, it has not on 3-tries.