S&P 500 didn‘t maintain Tuesday‘s high close, and neither did Nasdaq – both put in a series of failed premarket relief attempts with altogether three intraday upswings from Thursday‘s panic lows – yet these failed as well. When it was clear the last one was about to go the way of dodo bird, short positioning focused on S&P 500 and Russell 2000 was rewarded for the following hours (in intraday terms).
It‘s that I expect today‘s GDP and GDP price index to turn benign to the bulls, and to be supportive of "Fed should cut now to support the economy as inflation isn't biting nearly as badly as the economy is slowing down to crawl speed" (even 1.7% GDP growth is stall speed) – with all that brings to rate cutting odds, with of course some markets benefiting more than others.
And that‘s the subject of today‘s article – which.
Let‘s move right into the charts – today‘s full scale article contains 4 more of them, with commentaries.
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S&P 500 and Nasdaq
It‘s not only about the percentage of stocks trading above 50-day moving averages in both indices, not about equal weighted S&P 500, but about new highs new lows and advance-decline line with volume all making lower highs on modestly up days or divergencies in a longer series. BoJ driven repricing is then a cherry on the cake.
All essays, research and information represent analyses and opinions of Monica Kingsley that are based on available and latest data. Despite careful research and best efforts, it may prove wrong and be subject to change with or without notice. Monica Kingsley does not guarantee the accuracy or thoroughness of the data or information reported. Her content serves educational purposes and should not be relied upon as advice or construed as providing recommendations of any kind. Futures, stocks and options are financial instruments not suitable for every investor. Please be advised that you invest at your own risk. Monica Kingsley is not a Registered Securities Advisor. By reading her writings, you agree that she will not be held responsible or liable for any decisions you make. Investing, trading and speculating in financial markets may involve high risk of loss. Monica Kingsley may have a short or long position in any securities, including those mentioned in her writings, and may make additional purchases and/or sales of those securities without notice.
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