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    7/8/2014        The NYSE found a new way to stop for three hours the urgent
                          mid-day panic selling today and prevent the DJI from messily breaking
                          the 17500 support in sympathy with the Chinese plunge.  The "glitch"
                          conveniently kept professional market makers from having to load up on
                          too many shares when the DJI broke 17500, as it was aiming to do,
                          just before trading was artificially stopped because of the so-called
                          computer "glitch".  No doubt Exchange officials used the time to talk
                          productively with the Fed and probably Chinese officials, too. Today
                          the Futures are up +100. By my thinking, the trading delay allowed an
                          organized plan for bulls to be developed which would raise prices,
                          probably with the FED's backing and help.  (Was there really a computer failure?
                          Maybe not. Perhaps, it was heaven-sent.  We all know that Wall Street does
                          "God's Work".)



                          In any case, we should not fight the Fed in this.  I would plan to
                          close out the DIA short if there is another DJI decline below 17600.
                          Another test of the lows may occur when this rally is over.  The Chinese
                          debacle is not over.  Deflation is real.  And the DJI still shows steady red
                          Distribution.  But I would also add that the Hourly DISI Line did not confirm
                          its low made today. That is bullish. The DJI chart's key values also
                          show a positive OBVPct ("OP=.019").  I take this to mean that the selling
                          pressure is now probably not great enough to break the DJI down below 17500.
                       





                          Possibly, the heavy selling pressure in overseas markets will not impact the
                          the US for a while.  A new bailout of Greece has a good chance and it may take
                          a few months for US corporations to see the effects of the 40% sell-off in
                          Chinese stocks, if prices there can not be stabilized simply by having the
                          Government ban big investors' sell orders and lock up trading in hundreds of
                          other Chinese stocks for now. 

                                                        Take Some Short Sale Profits.

                          Most of the short sales among the Bearish MINCP stocks have fallen nicely.
                          Take some profits, especially if their Closing Power's hook back up and
                          break their steep downtrends.  There are not yet many bullish MAXCP stocks
                          with compelling technicals.   Traders will want to be on the alert for stocks or ETFs
                          (like Blue or IWM) whose Closing Powers break their CP downtrends after
                          showing a recent bulge of Accumulation.  So, the close tomorrow will be important
                          to watch.

                          Bank stocks like MA, JPM and GS should give us a good idea of how much the FED
                          may do to shore up the market.  MasterCard and Goldman could still complete
                          bearish head/shoulders.  JP Morgan has completed such a pattern but needs to
                          decline further to make that pattern's bearishness look convincing.

                          All in all, it's probably a good time to wait and see if the market can stage a
                          convincing reversal tomorrow, one where the NYSE advancers out-number decliners
                          by 3.5 or 4+ to 1 and bring us a new Peerless Buy signal.
                               See www.tigersoftware.com/PeerlessStudies/2-day-Up-Reversals/index.htm

                          If there is no such powerful reversal tomorrow, then the 17800 resistance on
                          the DJI will probably bring another reversal downward and there will be
                          another re-test of 17500.  The A/D Line for the 30-DJI stocks is falling
                          at a rate that cannot easily be reversed in only one or even two days.


                                                     
                                 More and More Stocks Have
                    Over Head Resistance at Their 65-dma


                   Index/Sector        Pct.of Stocks
                                              above 65-dma.
                                            today .... yesterday  
                   -----------------------------------------------------------------------------------------------
                   DJI-30             13.3%         23.3%     http://www.tigersoftware1.com/HH/MASTDOWJ.GIF
                                         oversold
                   SP-500            26.7%         38.4%     http://www.tigersoftware1.com/HH/MASTSP50.GIF         
                   QQQ               28.6%         36.7%    http://www.tigersoftware1.com/HH/MASTNASD.GIF
                   Russell-1000    28.9%         37.0%    http://www.tigersoftware1.com/HH/MASTRUS-.GIF
                   OEX                28.6%         33.7%    http://www.tigersoftware1.com/HH/MASTSP-1.GIF
                   All Stocks        28.9%         32.6%    http://www.tigersoftware1.com/HH/DATA65.GIF

The DIA, SPY, QQQ, IWM and IBB show similar patterns in that they have            falling Closing Powers and 5-dma, but their Opening Powers are all rising.             usually this is a bearish juxtaposition until the Closing Power downtrends are violated            and the stocks close back above their 5-day ma pivot-points          ----------------------------------------------------------------                               7/8 Close     5-day ma       5-dma Annualized    IP21                                                   Pivot Point     Rate of Change                   -----------------------------------------------------------------                   DIA       175               177.4          -23.5%                   -.149                                   http://www.tigersoftware1.com/HH/DIA.GIF                      SPY       204.53          203.5          -31.4%                  -.072                                          http://www.tigersoftware1.com/HH/SPY.GIF                    QQQ     106.09          107.92         -44.6%                  -.042                                          http://www.tigersoftware1.com/HH/QQQ.GIF                   IWM       121.99                 125.23               -116.3%                          +.115                                          http://www.tigersoftware1.com/HH/IWM.GIF                   IBB         362.78                  369.9               -83.6%                              +.153                                         http://www.tigersoftware1.com/HH/IBB.GIF                   The most bearish Bearish Big ETFS show "Both Down" condition (opening and closing                   power falling) and a falling 5-dma.  They should be shorted on rallies back to their                   falling 5-dma.  In this market, they have shown no ability to rally.  We need a short-term                   ranking program that among other things, will rank stocks for the annualized rate of change                   of their 5-day ma.  This is currently calculated and shown on the QuickSilver 6-month                   charts (obtainable using Operation + Six-Month charts after showing the yearly chart of                   a stock or ETF.                   OIH       32.78             33.71          -314.8%                  -.157                                         http://www.tigersoftware1.com/HH/OIH.GIF                           KOL      10.17             11.23          -541%                     -.445                               http://www.tigersoftware1.com/HH/KOL.GIF

7/8/2015   150+ TigerSoft Charts                                     Go to http://tigersoftware1.com/HH/ to see them. New Highs: NASD 7 -17         NYSE  1 -26   New Lows:  NASD 102 +31    NYSE  135 +72                                                     22  -16     Bullish MAXCPs  http://www.tigersoftware1.com/MAXMIN/7-8/bullish.htm                                                  220 +94   Bearish MINCPs -  http://www.tigersoftware1.com/MAXMIN/7-8/bearish.htm                  The great plurality of Bearish MINCPs over Bullish MAXCPs                  warns that Professionals are still bearish many more stocks                  than they are  bullish.  There is little point in trying to pick a                  winner on the long side now.