Headline News: Wall Street is set for a higher open after consumer price data came out within economist expectations. The consumer price index increased 0.5% last month, and the year-over-year number rose to 7%, the most significant twelve-month increase since 1982. Fed Chairman Jerome Powell said the U.S. central bank stood ready to do what was necessary to keep inflation from becoming “entrenched.” Markets: The S&P 500 rallied past the 50-day moving average and closed higher at 4713.07 on Tuesday. The trading came with volume at 2,236,356,608, and 84% was upside volume. Also, RSI moved past the 50 level closing higher at 51.61 in support of the day’s rally. The index could now test potential resistance at 4743.83 early in today’s trading. We are encouraged by the recent trading action and are moving back to a short-term bullish stance. 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… Read More
Headline News: Wall Street is set for a lower open after the December jobs report came in short of expectations. The nonfarm payrolls report showed an increase of 199,000 vs. expectations of 422,000. However, average hourly earnings increased by 0.6%, and the unemployment rate fell to 3.9%, well below expectations of 4.1%. The news sent the 10-year Treasury to a new high for the year at 1.769% Markets: The S&P 500 tested and held the 50-day moving average and closed higher at 4696.05. The index traded in a wide range, again showing indecision by traders. The 50-day moving average is now at 4672.01 and should be tested early this morning. RSI could not move above the 50 level, and the internal indicators remain overbought. So, we feel the potential support at 4646.41 could be tested today. 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… Read More
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
