For Week 46 the Handysize Index found itself closing down again at 646. The steady march downwards of the weekly candlesticks is a bit worrisome.
With the index now just above our 600-615 support ideas, we’ll keep watching to see how much strength this zone might have in the coming weeks.
The Supramax Index gave us no cheer in Week 46, continuing its recent habit of gapping down at each week’s open.
Closing at 969, the index at least showed a tighter range on the week compared to previous runaways.
In our previous comments, we talked about possible support in the 960-975 zone should things get really bad, and lo, here we are. As the index approaches the lows of Feb. 2018, the RSI closed on neutrality at 41.25, with the lagging MACD not quite into negative values yet but still bearish.
The index seems to be in the mood to test the 960-975 zone, although seeing the tighter range in Week 46 may indicate
some shrinking elasticity in the Supramax bungee cord.
Continuing the gloominess, the Panamax Index closed down for Week 46 at 1453. Previously we spoke of possible support in the low 1400s.
It’s possible the Panamax Index may be approaching one of its semi-regular step-backs visible throughout the chart. Let’s see what builds, if anything, in the low 1400s.
In Week 46 the Capesize Index took a hard poke through our lower-end support ideas and closed at a dismal 1057.
All was not gloom however, as the low for the week was 940, with the chart showing us a small wick on the bottom
of the Week 46 candlestick. Hope springs eternal.
Even with this plunge through our original lower support thoughts, are we looking at building support in the 800 – 850 range? Let’s see if the Cape Index thumbs its nose at us once more.