In this week’s GoNoGo Show, Alex and Tyler are reminded of the core tenet of technical analysis: prediction, presumption, forecasting and estimation are fertile ground for behavioral bias and emotional baggage. The scientific money manager simply reacts responsibly to market moves looking at the weight of the evidence available.
Multiple interpretations of the US stock indices exist depending on your timeline, however the continued “NoGo” trend conditions on the daily and weekly charts are only further confirmed by macro forces like rising interest rates ($TNX) and the persistent “Go” trend in the US Dollar index (UUP). Interestingly this week, the weekly chart of $USO has fallen from aqua to amber suggesting a neutral “Go Fish” condition in oil.
Relative and absolute trend performance from the Utilities sector ($XLU) remains in a “Go” condition. Alex and Tyler review a couple utilities companies as well as the constructive evidence appearing in the Financials Sector trend.