Report
SMI
Lane Dusserre

No sell signal—the short-term trend for US equity indices remains positive.

Short-Term (days/weeks) : higher
Key US equity indices were mostly higher last week, including the S&P 500, Nasdaq Composite and Nasdaq 100 ; the DJIA fell.
Daily OB/OS momentum indicators mostly turned up at modestly overbought (Nasdaq Composite, Nasdaq 100) or neutral (S&P 500).
At the close on Friday, the S&P 500 and Nasdaq 100 were testing trend resistance at new short-term highs; the DJIA was turning up at trend support from the fall 2022 low. Daily OB/OS momentum was modestly overbought (S&P 500) to moderately overbought (Nasdaq Composite, Nasdaq 100).
No sell signal—the short-term trend for US equity indices remains positive.
Although the DJIA has diverged short-term from the positive performance of other key US equity indices, the DJIA/NYSE ITI analog of troughs in the 30% range still looks relevant and suggests a positive short-term trend (days/weeks) for US equity indices: see chart, page 3.
See Daily OB/OS Charts, attached.
Intermediate-Term (weeks/months): still positive
US intermediate indicators of breadth and momentum were mixed week-on-week at the close on Thursday:
 Nasdaq Composite 100 Intermediate Term Indicator improved,
 NYSE and Nasdaq 100 Intermediate Term Indicators and Percentage of S&P 500 Groups with Positive Money Flow fell and
 Money Flow of the Average NYSE Stock was unchanged.
Key US equity indices were also mixed week-on-week at the close on Thursday ; the Nasdaq Composite and Nasdaq 100 were both higher again and are both still below next resistance while the DJIA fell sharply and is testing intermediate trend support. See Weekly Charts, attached.
Mixed US intermediate indicators of breadth and momentum and key US equity indices suggests a still-positive intermediate trend (weeks/months) for US equities.
The DJIA/NYSE ITI analog model suggests strength to late June before the next pullback: see analog chart, page 2.
Key Takeaway : the intermediate outlook (weeks/months) for US equities remains positive.
Provider
SMI
Analysts
Lane Dusserre

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