Daily Market Update and Timing

So far it has been an interesting week.  The news coming out of the G20 meeting seems to be having a positive impact on the markets which continue to rise.  So far, all the indices are hovering right around the key 50 day moving average and a sustained break above this level could mean we have a reversal in the market.  Right now, we are experiencing some pretty wild swings, with the net result being sideways movement as opposed to true upward momentum.   Gold and silver are pulling back today, as money continues to flow into equities.  Oil remains in the wide range, trading up to around $51 this morning.  The news regarding job losses continues to be negative.  It is quite possible that unemployment in the United States could reach the 10 – 10.5% level before this recession is over. 

 As of this writing, futures are positive and the DAX is positive, indicating a positive open.    The market condition scans and market bias numbers both remain neutral, giving no indication on short term market direction.   Interestingly, the institutional scan and the RSI scan both showed an increase in numbers, which are a positive that institutions are re-entering the market.    However, without clarity on market direction, I still prefer to remain on the sidelines, as opportunity will still be there to take advantage of this if it turns out this current rally is more than a bear market retracement.

Index	Change	%Change	Level	Phase
TSX	+221.43	+2.54	8941.82	Recovery
DJIA	+152.68	+2.01%	7761.60	Recovery
Nasdaq	+23.01	+1.51%	1551.60	Recovery
SP 500	+13.21	+1.66%	811.08	Recovery
Russell 2000	+6.41	+1.52%	429.16	Recovery
NYSE	+106.78	+2.14%	5085.76	Recovery

Source: Telechart

Short Term market outlook:

Bias: Scans showing a neutral bias

Energy: moderate

 Primary Trend: Remains down to sideways

Sector	Phase
Consumer Staples	Bearish
Healthcare	Bearish
Technology	Recovery
Utilities	Bearish
Energy	Bearish
Financials	Recovery
Industrials	Bearish
Materials	Recovery
Consumer Discretionary	Recovery

Source: Telechart