Ian Woodward's Investing Blog

Stock Market: The Pullback Before the January Effect

The Grinch dampened the Santa Claus Rally, but the January Effect is still on the cards.

January Picture

The Market Indexes are now Pausing to Refresh and with luck we should see the January Effect kick in soon:

January Indexes

The Canaries have already Paused to Refresh, and are ready to move again:

January Canaries

The VIX has moved up today with the pullback in the Indexes, but if it stays below 17.0 we have room to move up:

January VIX

%B for the S&P 1500 is at 0.80 and running out of steam, so we are now into a pullback today as expected:

January B

The Acc/Dist Ratio is only 1.25 so there is plenty of room for the Markets to go up:

January abcde

True to form the Small Caps have already started their run for the January Effect, but expect more moves higher:

January big foot

Looking at the low, mid and upper four buckets may have some value as to direction so we will watch this item:

January 4 buckets

We have risen 7 days in a row so we are due for a pullback which is underway as I write this note:

January Pat

Here is some research I showed you four years ago, and worth noting at this time for the Market being Overbought:

January overbought

Here is new research hot off the press relating to finding additional value for Overbought Markets…enjoy!

January overbought3

…And would you believe it the pullback is here as I write this with half an hour to go to Market Close:

January Pullback

Happy New Year to you all…give us some feedback on all of this good stuff!

Ian

2 Responses to “Stock Market: The Pullback Before the January Effect”

  1. Paul R Says:

    My goodness Ian excellent market analysis! Lots of good stuff to study. Happy New Year and thanks for keeping us on the right side of the 405!

    Paul R

  2. Scott Says:

    Great stuff Ian!

    Happy New Year. Here’s to health and staying sharp in 2015.

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Disclaimer: Commentaries on this Blog are not to be construed as recommendations to buy or sell the market and/or specific securites. The consumer of the information is responsible for their own investment decisions.