Headline News: U.S. stock futures are flat a day after heavy selling due to concerns after the release of the Federal Reserve December minutes. The Fed plans to reduce the number of Treasury and mortgage-backed securities it holds and continue its bond tapering policy. Also, a rate hike is now being priced into markets, causing the 10-year Treasury to move higher and is currently yielding 1.75%. Markets: The S&P 500 sold off heavy on Wednesday and closed at 4700.58. The selling was intense, with 2,803,659,520 shares traded and 76% of that was down volume. RSI moved below the 50 level which is often a potential sell signal. The index remains in overbought territory, so we feel the 50-day moving average will be tested soon. The next potential support level could now come in at the 50-day moving average at 4669.58 and then possibly at 4646.41. We are currently Intermediate-term bullish and short-term bullish. John N. Lilly III CPFA Accredited Portfolio Management Advisor℠ Accredited Asset Management Specialist℠ Portfolio Manager, RJFS Partner, DJWMG Windsor Wealth Planners & Strategist Futures trading is speculative, leveraged, and involves substantial risks. Investing always involves risk, including the loss of principal, and futures trading could present… Read More
Headline News: Futures are higher open after the World Health Organization announced evidence is showing the Omicron variant causes milder symptoms than previous variants. “We are seeing more and more studies pointing out that omicron is infecting the upper part of the body. Unlike the other ones, that could cause severe pneumonia,” WHO Incident Manager Abdi Mahamud told journalists, which is “good news.” Markets: The S&P 500 rallied late in the day on Monday and closed higher at 4796.56. Volume was much higher with 2,235,108,096 shares traded, and 71% of that was up volume. The index is now back in the middle of the base that started to form on 11/28/2021. However, the internals are still overbought at these levels, so buying should be selective going forward. We are currently Intermediate-term bullish and short-term bullish. John N. Lilly III CPFA Accredited Portfolio Management Advisor℠ Accredited Asset Management Specialist℠ Portfolio Manager, RJFS Partner, DJWMG Windsor Wealth Planners & Strategist Futures trading is speculative, leveraged, and involves substantial risks. Investing always involves risk, including the loss of principal, and futures trading could present additional risk based on underlying commodities investments. The Relative Strength Index (RSI), developed by J. Welles Wilder,… Read More
Headline News: The S&P 500 is set to open higher to start the new year as new inflows continue to come into equity markets. Like last week, there isn’t a specific news item to account for the upside bias with media headlines continuing to focus on the Omicron variant, the Fed’s potential impact on the market this year, and the prospects of the Build Back Better Act. Markets: The S&P 500 closed at 4766.18 on Friday. The index is below support and the bottom of the 4775.33-4808.93 trading range. S&P 500 futures are pointing to an open at 4783.75, putting the index in the middle of the trading range. This would also continue to build a base at these levels that we feel could soon lead to another new all-time high. However, our internal indicators remain in overbought territory, so some caution is warranted. We are currently Intermediate-term bullish and short-term bullish. John N. Lilly III CPFA Accredited Portfolio Management Advisor℠ Accredited Asset Management Specialist℠ Portfolio Manager, RJFS Partner, DJWMG Windsor Wealth Planners & Strategist Futures trading is speculative, leveraged, and involves substantial risks. Investing always involves risk, including the loss of principal, and futures trading could present… Read More
Headline News: Wall Street is set for a lower open on the year’s last trading day. Trading volume is expected to be thin, with many participants taking the day off for the new year. Several markets in Asia and Europe were closed today, while others closed early. The U.S. stock market will be open for a full day of trading. Markets: The S&P 500 tested the top and the bottom of the current trading range, closing lower at 4778.73. Our internal indicators show the index is overbought and extended, and a test of support could be constructive today. Today should be a slow day with low volume, so we are not expecting much to change. If selling does come in, the potential support at 4743.83 should hold. We are currently Intermediate-term bullish and short-term bullish. John N. Lilly III CPFA Accredited Portfolio Management Advisor℠ Accredited Asset Management Specialist℠ Portfolio Manager, RJFS Partner, DJWMG Windsor Wealth Planners & Strategist Futures trading is speculative, leveraged, and involves substantial risks. Investing always involves risk, including the loss of principal, and futures trading could present additional risk based on underlying commodities investments. The Relative Strength Index (RSI), developed by J. Welles… Read More
Headline News: Wall Street is set for a flat open as Omicron cases in the U.S hit record highs. However, investors appear encouraged by reports the variant has a lesser chance of hospitalization than the Delta variant. Almost 900,000 cases were detected on average between December 22-28, and countries worldwide are also posting a record-high number of cases. Markets: The S&P traded at a new all-time high at 4807.02 but sold off to close lower at4786.35. Volume was again lower, with only 1,428,647,296 shares traded. It is possible the index could form a small base at these levels and then try to move higher, but we still feel a test of potential support 4743.83 will take place. If so, the index would then be in an excellent position to continue the recent uptrend. We are currently Intermediate-term bullish and short-term bullish. John N. Lilly III CPFA Accredited Portfolio Management Advisor℠ Accredited Asset Management Specialist℠ Portfolio Manager, RJFS Partner, DJWMG Windsor Wealth Planners & Strategist Futures trading is speculative, leveraged, and involves substantial risks. Investing always involves risk, including the loss of principal, and futures trading could present additional risk based on underlying commodities investments. The Relative Strength Index (RSI),… Read More
Headline News: Wall Street is set to open higher for the fifth day in a row as investors continue to look past Omicron travel delays and store closings. However, recent data has shown that the Omicron variant is less several than initially thought; new medicines to fight the variant have come to the market. Markets: The S&P 500 rallied for the fourth day in a row and closed at a new all-time high of 4743.83. However, the rallies have continued lower volume, and all the internal indicators have not moved to new highs. So, we think some profit-taking may come in and potentially test possible support at 4743.83 today. Also, this is traditionally a low-volume trading week before the start of the year. We are currently Intermediate-term bullish and short-term bullish. John N. Lilly III CPFA Accredited Portfolio Management Advisor℠ Accredited Asset Management Specialist℠ Portfolio Manager, RJFS Partner, DJWMG Windsor Wealth Planners & Strategist Futures trading is speculative, leveraged, and involves substantial risks. Investing always involves risk, including the loss of principal, and futures trading could present additional risk based on underlying commodities investments. The Relative Strength Index (RSI), developed by J. Welles Wilder, is a momentum oscillator… Read More
Headline News: U.S. stock futures are set to open higher after reports showed the omicron virus has a lower risk of hospitalization. Also, the jobless claims for the week ended December 18th came in as expected at 205,000, while durable goods for November rose 2.5% vs. estimates of 1.5%. The Commerce Department also reported that consumer spending rose 0.6% in November. The main report was the personal consumption expenditures that increased more than expected at 4.7% year over year growth. Markets: The S&P 500 closed higher at 4969.56, and the trading action has moved us back to short-term bullish. The index is now back inside a recent trading range after making a higher low at 4531.10 on 12/20/2021. The trading should be light again today, and we are not expecting the index to test the old closing high of 4712.02. If selling should come in, potential support could come in at 4652.66. We are currently Intermediate-term bullish and short-term bullish. John N. Lilly III CPFA Accredited Portfolio Management Advisor℠ Accredited Asset Management Specialist℠ Portfolio Manager, RJFS Partner, DJWMG Windsor Wealth Planners & Strategist Futures trading is speculative, leveraged, and involves substantial risks. Investing always involves risk, including the loss… Read More
Headline News: Wall Street is set for a lower open after the U.S. economic growth slowed in the third quarter. The Commerce Department reported GDP increased at a 2.3% annualized rate. The rise in COVID-19 cases was cited as the growth rate came in at the slowest since the second quarter of 2020. Later today, new home purchases, existing home sales, and consumer confidence will also be reported. Markets: The S&P 500 rallied past the 50-day moving average and closed higher at 4649.23. RSI moved up past the 50 level while the advance/decline line and net new high indicators finally turned up. The trading came on low volume with only 2,279,890,688 shares traded, and the index is not just under potential support at 4649.23. The lack of volume is a concern, but that could be attributed to a holiday week where trading is typically light. Also, up volume was 87% of the trading, indicating that if the index can close higher today, a new uptrend could potentially be in place. We are currently Intermediate-term bullish and short-term bearish. John N. Lilly III CPFA Accredited Portfolio Management Advisor℠ Accredited Asset Management Specialist℠ Portfolio Manager, RJFS Partner, DJWMG Windsor Wealth Planners… Read More
Headline News: Wall Street is set for a higher open after two positive earnings reports. Nike (NKE) rose 3.5% after beating quarterly estimates for profits and revenues, and the company sounded confident the supply chain problem could let up soon. Micron Technology (MU) rose 8% after forecasting second-quarter solid earnings and beating quarterly profit and revenues estimates. Meanwhile, current omicron cases appear to have milder symptoms helping ease the fear of lockdowns. Markets: The S&P 500 closed lower at 4568.02 after testing and rallying off the support level at4540.51. However, there was below-average volume with only 2,440,436,224 shares traded, and the advance/decline line and net new high indicators have not turned higher yet. So, another rally today above the 50-day moving average at 4607.80 is needed to keep the upward momentum going. This morning S&P 500 futures are higher, indicating an open around 4597.50; a good sign today could have bullish trading. We are currently Intermediate-term bullish and short-term bearish. John N. Lilly III CPFA Accredited Portfolio Management Advisor℠ Accredited Asset Management Specialist℠ Portfolio Manager, RJFS Partner, DJWMG Windsor Wealth Planners & Strategist Futures trading is speculative, leveraged, and involves substantial risks. Investing always involves risk, including the loss… Read More
Headline News: Wall Street is set for a lower open as investors deal with a surge in Covid cases and changes in the Fed’s monetary policy. According to CDC data, there have been 150,000 cases of omicron reported in the United States. Fears of renewed lockdowns causing an economic slowdown while inflation remains high had investors selling off stocks this morning. Also, President Biden’s signature “Build Back Better ” was dealt a blow after Senator Joe Manchin said he would vote no on the plan. Markets: The S&P 500 closed lower at 4620.64 on Friday after testing the 50-day moving average. The trading came on massive volume with 4,399,354,368 shares traded, and RSI moved below the important 50 level. Potential support could now come in at 4540.51 and then possibly the 12/3/2021 low of 4495.12. We feel both levels will likely be tested soon due to a large amount of uncertainty due to the Omicron variant and its potential effects on the U.S economy. We are currently Intermediate-term bullish and short-term bearish. John N. Lilly III CPFA Accredited Portfolio Management Advisor℠ Accredited Asset Management Specialist℠ Portfolio Manager, RJFS Partner, DJWMG Windsor Wealth Planners & Strategist Futures trading is speculative,… Read More
