The SP500 is climbing toward the 1300 level but the divergence with the MACD could put this climb on a temporary halt.
SP500:
Similar divergence appeared on the DJIA and Nasdaq 100.
DJIA:
Nasdaq 100:
This divergence does not imply a pullback will occur, it just put out signs that momentum is slowing and a possible pull back could happen. Whenever I see this type of divergence, I move into a cautionary mode and be less aggressive on the long side.
The UUP (US dollars ETF) showed some strength and broke out of a small declining price channel. The level I am watching is the high of 23.52 it made on 11/30/2010 and the 200 SMA. I will continue to consider the trend to be down until it has broken above these levels and formed a higher high/higher low pattern.
UUP:
The short US long term treasury ETF, TBF is hovering in the middle of a rising price channel and bumping up against a possible baseline resistance at 45.42. If it breaks above this level, potential upside could be the upper price channel trend line near 47.
TBF:
The Agri ETF, MOO continues its upward trend with upper target level near 58.
MOO:
