Market Pulse on October 27th

Olivier Rigot, EMC Gestion de Fortune

1 minute de lecture

S&P 500 3390,68 – 10,29.

Being in quarantine, we don’t have access to all of our indicators. Nevertheless, we made several observations over the last two days: systematic models based on prices have turned south and this may attract further selling by market participants following these kind of models, options traders are still trying to buy calls on dips and hedging activity is low, breadth deteriorated swiftly, heavy selling activity occurred on declining stocks as measured by our capitulation index although our buying/selling index is neutral. This apparent contradiction is not abnormal in this kind of environnment. If the market really starts to spillover, the supports stand at 3200 and the strongest one at 3000.

Very short term oscillator Negative -
Short term oscillator Negative -
RVI trend Negative -
Trend short term (5 days) Down
Trend mid term (8 days) Down
Differential of trends Down
Risk profile Under review (scale of 1 (low risk) to 100 (high risk))

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