STI chart as of 5 Aug 16

Ernest’s market outlook (5 Aug 16)

Dear readers, S&P500 has registered another high whereas our STI plunged 117 points, or 4.0% over the past two weeks. How will the markets move from here ? Read on for more.   S&P500 Index Just to recap what I have mentioned on 22 Jul 2016 (see HERE), I wrote “it is good to see that all its exponential moving averages for the S&P500 (“EMAs”) are moving higher with a good degree of separation. However, I am worried by the low ADX and the bearish divergences exhibited by the indicators such as MACD, MFI and RSI. Nevertheless, the break above […]