Future Retirement Success
  • Politics
  • Business
  • Investing
  • Stocks
  • Politics
  • Business
  • Investing
  • Stocks

Future Retirement Success

Stocks

Is This Light Switch Turning On?

by January 11, 2023
January 11, 2023
Is This Light Switch Turning On?

As a chartist, there are lots of charts to choose from to make a point about how bullish or bearish the market is. However, when you pick broad market charts, there is very little to argue a point. Composite exchange ( all the stocks in a group) charts reach a broad swath of the economy, and help us see a wider view, rather than a narrower selection of the Nasdaq 100, the $SPX, the Dow 30 or a specific industry.

NYSE LINE CHART

The charts below are from the NYSE. The $NYA is the ticker symbol for the ‘stock exchange’ rather than a select group of America’s best charts.

This week, the NYSE composite chart sits at an important crossroad that it has not been at for a long time. The junction of the top trend line since the 2007 high, the support trend line since 2010 and the 10 month moving average are all providing support under this chart after the frenzy of free government money for everybody in 2020. The chart exploded higher in 2020 through 2021 and slipped lower for most of 2022. This chart bottomed in October 2022.

The PPO on the chart above is trying to turn up, just above zero. That looks very bullish if we turn higher from here. We do not want to see the PPO start to fail and drop below zero.

Another interesting clue is that in the 2008-2009 crisis, volume accelerated above the average until the market lows of October 2008 were in. The current volume seems comfortable below the moving average, hinting that large investors are not too worried we don’t get through this.

NYSE BAR CHART

When I look at the monthly bar chart rather than a line chart, a few other clues are in play. A bar chart shows the price throughout the month, not just the closing price.

Price sits at the monthly trend line. We have had four months of higher lows so far. We also seem to be holding above the 10 month moving average which was resistance in the middle of 2022. The PPO is the same as the chart above, and it tells us that this is a typical bounce point. The difference is, we are doing this bounce without the Fed’s help.

NYSE WEEKLY BAR CHART

When I move to the weekly chart below, a few more interesting things happen.

The chart is holding above the 10 WMA which is the blue line. This was support all the way through 2020 and most of 2021. It is also trending up and has clearly broken any downtrend drawn on the moving average. Price on a weekly chart looks much better and has broken a down trend line on the previous highs and has bounced off that line. The PPO is turning up very bullishly, right at zero.

As we continue to rally, this looks more and more like a bull market start. I have a variety of charts telling me to be more positive on the outlook. It seems each week in the newsletter to clients, the markets are improving their bullish outlook.

I also did a presentation about how we expect to manage the market turbulence in 2023 as we have a couple of interesting crossroads coming at us. That presentation can be found here. Investing Strategies From Osprey Strategic.

Grab a beverage and see if some of the ideas presented can help you preserve capital while enjoying the upside. Have a wonderful 2023!

0
FacebookTwitterGoogle +Pinterest
previous post
Hawley pressures Garland to appoint special counsel in Biden classified docs probe
next post
SEE IT: John Fetterman landed brief, non-speaking part in Christian Bale period film while campaigning

You may also like

The Battle Against Inflation May Have Only Just...

December 15, 2022

The Market Liked FOMC

February 3, 2023

Dramatic Bearish Bias Shift on Major Market Indexes...

January 13, 2024

Sector Rotation: How to Spot It Early Using...

February 26, 2025

It’s TOO EARLY to Be Bullish on Tesla

June 18, 2024

GNG TV: Charts Flash Warning Signs of Further...

October 27, 2023

Dow Jones and S&P 500 Close At Record...

January 20, 2024

Buy the Dip or Sell the Rip?

April 23, 2024

DP Trading Room: Avoid These “Magnificent 7” Stocks!

February 12, 2024

The Best Five Sectors, #27

July 14, 2025

    Get free access to all of the retirement secrets and income strategies from our experts! or Join The Exclusive Subscription Today And Get the Premium Articles Acess for Free

    By opting in you agree to receive emails from us and our affiliates. Your information is secure and your privacy is protected.

    Recent Posts

    • Exploring the TEMU Influencer Program: A New Way for Creators to Earn   

      August 17, 2025
    • AI ‘helper’ for jobseekers sparks fears of surge in junk applications

      August 17, 2025
    • British horse racing to strike for first time in protest at betting tax hike

      August 17, 2025
    • Evelyn Partners tipped for £2bn sale as private equity owners prepare auction

      August 17, 2025
    • The Contribution of Digital Technology to Net-Zero Ambitions

      August 17, 2025
    • Marcus Rashford’s The Rest Is Football interview smashes records with 1.4m streams in 48 hours

      August 17, 2025

    Categories

    • Business (8,804)
    • Investing (2,217)
    • Politics (16,400)
    • Stocks (3,228)
    • About us
    • Privacy Policy
    • Terms & Conditions

    Disclaimer: futureretirementsuccess.com, its managers, its employees, and assigns (collectively “The Company”) do not make any guarantee or warranty about what is advertised above. Information provided by this website is for research purposes only and should not be considered as personalized financial advice. The Company is not affiliated with, nor does it receive compensation from, any specific security. The Company is not registered or licensed by any governing body in any jurisdiction to give investing advice or provide investment recommendation. Any investments recommended here should be taken into consideration only after consulting with your investment advisor and after reviewing the prospectus or financial statements of the company.

    Copyright © 2025 futureretirementsuccess.com | All Rights Reserved