The DXY remains above support with improving upside momentum. On the other side of the coin, we have the EURO hitting our initial target at 1.115 and remaining in a firm downtrend. Momentum remains very weak.

Short-term, the S&P 500, Nasdaq Composite and Russell 2000 pulled back to zones where we should see prices starting to hold and turn up from. The intermediate to long-term trends remain positive and we maintain our bullish view. We also remain bullish the Midcaps and would look to buy near-term weakness in the MDY.

The DXY is making its way above an important resistance area, and we expect it to trade higher from here.

Not much has changed in a week. Upside momentum remains firm and we have a number of indices above their 40-week average. Although most of the U.S. indices reviewed are overbought short term, it’s a “good overbought” where any weakness is short lived and met with more demand.

Not much has changed in a week. Momentum continues to build, and we have the S&P 500, Nasdaq Composite, Mid Cap (MDY) and Dow Transports making their way above their 40-wk. averages.

The next few days will be very telling for both the DXY and EURO. The overall bias for the EURO is weak and we are looking for a short-term rally to sell into.

Upside momentum remains very firm for a number of U.S. indices and we want to stay the course on our intermediate to long-term call which is bullish.

Please find in the attached pdf this weeks review of a number of currencies and commodities.

Today we present the equity portion of our Technical Tuesday report sent out last week. We waited for week ending data and put together a number of charts of various global equity markets, and in some cases, on multiple timeframes.

Today's report covers the G10 currencies, the TLT and 10-yr. T-Note Yield and a number of commodities.

A number of the U.S. indices we reviewed are overbought and into a confluence of resistance on a short-term basis. As we noted in last week’s report, “we believe the market is vulnerable to a pullback starting within the next day or two,” the high actually came in on day three.

On a short-term basis, we have a trading sells on the S&P 500, Nasdaq Composite, Russell 2000 and the Midcap 400 (MDY). All of these indices are into a confluence of resistance and overbought. Our intermediate to long-term view remains bullish as we had extreme readings on a number of market internals into the December low.

Volatility brings opportunity, and we sure have seen a lot of that in recent weeks. As we reviewed the a number of market indices and internals, we feel that for most markets, we have seen an internal low and now wait for the external low to take shape.

WTI Crude Oil is approaching a range of support between $42—$45. Gold is close to our initial target of 1285 with improving momentum.

This are a number of U.S. and European indices that have either achieved their Money Flow Unit targets or have held and reversed from a Make or Break (MOB) support band or an Ellipse target. There is enough here for us to be covering shorts in these indices and in many cases, going long.