Short-Term (days/weeks) : still no short-term buy signal, but US equity indices are probably close to a low

Short-Term (days/weeks) : still no short-term buy signal, but
probably close to a low
Key US equity indices were all sharply lower last week, including the S&P 500,
Nasdaq Composite, DJIA and Nasdaq 100 as Daily OB/OS momentum
indicators turned down in oversold territory.
At the close on Friday, the DJIA, Nasdaq 100 and Nasdaq Composite were all
testing trend support ; the S&P 500 was still above next short-term price support.
Daily OB/OS momentum indicators were turning up at moderately oversold.
Conditions are in place for short-term lows for the DJIA, Nasdaq Composite and
the Nasdaq 100, but no short-term buy signal (price turning up at support as
Daily OB/OS turn up at oversold). Analogs still look relevant and suggest a short
-term low now, around current prices, but it’s best to wait for a clear buy signal.
The S&P 500 is less than 1% above the 4305 target (August 2022 high). See
Daily OB/OS Charts, attached and analog charts, pages 2-3.
Intermediate-Term (weeks/months): still negative
US intermediate indicators of breadth and momentum all fell sharply week-onweek
at the close on Thursday, including NYSE, Nasdaq Composite and Nasdaq
100 Intermediate Term Indicators, Percentage of S&P 500 Groups with Positive
Money Flow and Money Flow of the Average NYSE Stock.
Indicators are mostly now only very modestly overbought ; the Nasdaq 100
Intermediate Term Indicator is modestly oversold.
Key US equity indices were also all sharply lower week-on-week at the close on
Thursday ; the Nasdaq Composite and Nasdaq 100 are testing intermediate trend
support from the January lows and the DJIA is testing intermediate trend support
from the June low. See W eekly Charts, attached.
Key indices are at support and indicators are near neutral, suggesting limited
further downside. Also, updated DJIA/NYSE ITI analogs (average of NYSE ITI
peaks in the 70% range and average of second peaks in the indicator) both
suggest a low now. The “second peaks” analog points to a rally to new highs into
October ; new average analog suggests a trading range to year-end. See analog
charts pages 2-3.
However, it’s best to wait for a clear intermediate buy signal.
The intermediate outlook (weeks/months) for US equities is still negative,
but on the alert for an intermediate buy signal.