1,316 results found
Newsletter
On Friday, the latest employment report from the Bureau of Labor Statistics (BLS) quelled any concerns of a near-term recession. While overall employment printed an astonishing 245,000 jobs, a massive chunk of those jobs were from Government hiring and seasonal adjustments.
Newsletter
Notably, completing the "cup and handle" pattern suggests a potential further upside to 6000 by year-end. While that target may seem ambitious, it aligns with recent Wall Street upgrades.
Newsletter
As noted last week, the trend of higher lows and the triggering of the MACD "buy signal" all suggested the recent correction phase was over. That was confirmed this past week, as the market broke out to new all-time highs following the 50 basis point cut in the Federal Reserve overnight lending rate on Wednesday.
Newsletter
Things did not look good heading into this week. However, the market rallied off the 100-DMA and retraced to the 50-DMA. Then, on Wednesday morning, a hotter-than-expected CPI report led to a sharp 1.5% selloff that retested the 100-DMA a second time. Things looked a bit dire, but strong words from Nvidia's (NVDA) CEO sent stocks surging higher to a 1% gain by the close. That reversal cleared resistance at the 50-DMA, confirming the retest of the previous support. That bullish action continued through Friday, clearing the 20-DMA as well.
Newsletter
This past week, slowing economic data and a weak payroll report weighed on market sentiment, pushing the market below initial support levels at the 20—and 50-DMA. That suggests that the current correction process that began in early August is continuing ahead of the upcoming November election.
Newsletter
This past week, the market struggled to make gains, and as shown, its momentum has slowed. While such does not mean a significant correction is imminent, it does suggest that the upside is likely limited. Investors should expect a continued consolidation or pullback to previous support levels. Notably, a negative divergence is developing between momentum, strength indications, and market performance. We last mentioned such a negative divergence was in late July before the August correction.
Newsletter
As noted last week, the rapid rally from the lows of three weeks ago had some good and bad elements. The positive is that the rally reversed the MACD "sell signal," suggesting the bullish bias has returned. Furthermore, the rally cleared all-important resistance levels with ease. The market quickly crossed the 100, 50, and 20 DMAs, leaving only recent all-time highs as significant next resistance. The only negative to the advance is the nearly complete reversal of the previous oversold conditions. Such isn't a critical issue, but it suggests we will likely see a minor pullback to retest support at the 50-DMA. Such will provide a better entry point to add exposure as needed.
Newsletter
As noted last week, events like the "Yen Carry Trade" blow-up are temporary and rarely devolve into more extreme market corrections. However, there is always that risk, so we suggested rebalancing portfolio risk as needed. As we will discuss today, the good news is that the 5-10% correction we warned about in June and July is likely complete.
Newsletter
As noted last week, the correction continued. While we did get that reflexive rally, it came after an unexpected event shocked markets into a deep selloff on Monday.