March 28, 2024

Markets finish up but look vulnerable

The Market: While it was not our expectation, we noted in Tuesday’s NightCap that, if the market extended higher, we would expect the downward sloping 20 day SMA to act as resistance.  If you look at the SPY, this is exactly where the market stopped in early trading on Wednesday and then proceeded to pullback sharply.  While all the major indices on the WSC Scoreboard finished higher in today’s trading, the market looks vulnerable to more downside in the coming days-weeks. Leading sectors in today’s trading was Transportation (IYT), Technology (XLK), and HealthCare (XLV) while the Utilities (XLU) and Retail…

Market lower & Energy higher on week

Index & Sector performance 6/13/14 The Market: After logging a close outside of the Weekly (20, 2, -2) Bollinger Bands in the S&P 500 last week, the S&P 500 finished this week slightly lower.  As we noted last week when it happened, this is a noteworthy event to track in our opinion because it has led to multi-week/month counter trend moves and remains one reason we continue to cautious on the broad market at this time. While most of the sectors from the WSC Scoreboard finished the trading session higher, it was again Energy (XLE) leading the charge closing up nearly…

Daily Wrap

DJIA +60.44 (+0.40%) to 15,275.69; S&P 500 +8.44 (+0.51%) to 1,658.78; NASDAQ +6.57 (+0.22%) to 3,002.62 A very choppy yet still strong day to follow-up on Tuesday’s rip higher.  Today initially open lowered but by 11am EST was back to flat and then took off at what felt like an unabated rally which fell just shy of $1660 in the S&P 500 cash index.  The market then swooned almost back to even and finally finished up 8 points and only roughly 3 from the high.  There was a decent amount of economic data today and it was interestingly mixed but what will be watched for the…

Daily Wrap

Today was an ugly day for the markets.  We had highlighted, for the Bulls, a potential inverse H&S setting up on the 60 minute SPY chart but noted that the lows from 11/13/12 HAD to hold or the market could be looking at a bad situation.  The SPY made the highs for the day in the first 5 minutes of trading and then faced selling for the remainder.  The first leg down completed around 11am EST and then we meandered until later until around 2:15 pm EST when we broke hard for the rest of the day.  The President spoke…