Hedge Fund
McMillan Analysis Corp - Weekly Stock Market Commentary 11/6/2020
Election-related or not, the move from the bottom to the top of the $SPX trading range in just four trading days was impressive. The trading range extends from 3200 to nearly 3600 (the all-time highs at 3588). The recent moves have pretty much obliterated what had been a support and resistance area near 3400-3430, so the edges of the range itself are the only meaningful support and resistance currently.
Equity-only put-call ratios remain on sell signals, despite the huge rally over the past four days. They are still moving higher, although there is a "wiggle" in the weighted chart in Figure 3. The computer analysis programs say that that wiggle is meaningless and that sell signal remains intact.
Market breadth has improved strongly this week, and both breadth oscillators are on buy signals -- those most recent buy signals having come at the close of trading on November 2nd.
The entire post can be viewed here.