I am not a huge fan of this week’s readings. 

Granted the weekly chart only shows two day’s worth of action for this week’s price action and the remaining three days worth could alter the current path that it is currently on. But nonetheless, the sudden and unexpected bearishness is something worth noting. You don’t usually get reversals at the middle of the range and when you do their reliability is sketchy at best. Typically these early reversals are better suited when it aligns with the overall market trend, but unfortunately the market is without a trend, so it is best to simply step back and wait to see what the markets will do in the week ahead. 

Here is the Weekly SPRI:

shareplanner reversal indicator weekly 8-4-15

On the daily, you have an early reversal to the upside. Yes, this muddles the picture quite a bit with exactly different readings. Typically I like to defer to the weekly chart, but even that chart is too muddled and not to be trusted at this juncture. 

Here is the Daily SPRI:

shareplanner reversal indicator daily 8-4-15

No indicator is perfect all the time and just because this indicator dons my company name doesn’t mean I won’t call it out when the indicators aren’t jelling quite right. The market has been range bound for five months and that alone can cause all sorts of problems with indicators that have been fairly reliable overall. For now, I will continue to follow price and action solely and place little weight on the SPRI readings of this week. 

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