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
Headline News: Wall Street is set for a flat open as investors await the Federal Reserve monetary policy decision later today. Fed Chairman Jerome Powell will hold a news conference at 2:30 p.m. today, and he is expected to announce an acceleration of the tapering of its bond-buying program. Meanwhile, U.S. retail sales increased less than expected in November, rising only 0.3%, which was the fourth month in a row of gains. Markets: The S&P traded in a wide range on Tuesday and tested both support and resistance before closing lower at 4634.09. The trading actions show indecision by traders looking for a catalyst to move the index in either direction. We feel the index needs to move back into the recent 4652.94-4702.87 trading range soon, and if not, the support at 4659.17 could be tested again. 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. … Read More
Headline News: Wall Street is set for lower open after new inflation data showed a rise in producer prices. Wholesale prices increased at the fastest pace ever in November, with the producer price index rising 9.6% year over year. Excluding food and energy, the core PPI increased 6.9% year over year. Investors appear to be concerned that the Federal Reserve will have to respond aggressively to the recent inflation reports. The Fed starts a two-day meeting today and will announce any changes in policy on Wednesday. Markets: The S&P 500 sold off on Monday, closing at 4668.97 and in the middle of the current trading range. The selling came with an increase in volume, with 2,391,258,880 shares traded. The selling looks set to continue this morning, and the index is set to open below current potential support at 4652.94. The next possible support levels would then become 4630.86 and then 4569.17. 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… Read More
Headline News: Wall Street is set for a higher open despite inflation rising at the fastest pace since 1982. The Labor Department’s CPI report rose 0.8% for the month and 6.8% year over year. Food and energy prices, core CPI, were up 0.5% for the month and 4.9% year over year. Investors appear to feel the report will ease the pressure on the Federal Reserve to move ahead with its higher pace of tightening of monetary policy. Later today, the University of Michigan Consumer Sentiment report will be released, a potential market mover. Markets: The S&P 500 closed lower at 4667.45 and is now in the middle of a trading range at 4652.94-4702.87. We feel the index could trade in this range for a few days. However, today’s CPI report could have a negative effect on the index unless a higher inflation number was already priced into markets. So far this morning, the S&P 500 futures are higher by 37 points which could see the index test the upper end of the trading range. So, if the rally can hold for the first half an hour, we feel there could be a potential breakout above 4702.87 today. We are currently… Read More
Headline News: Wall Street is set for a lower open as investors appear to be on hold until tomorrow’s release of the U.S. inflation report. The Federal Reserve may announce a faster taper plan next week based on the results of the November CPI report due out on Friday. Also, the number of Americans filing new claims for unemployment benefits dropped to the lowest level in more than 52 years last week. Initial claims for state unemployment benefits fell by 43,000 to a seasonally adjusted 184,000 for the week ended December 4th. Markets: On Wednesday, the S&P 500 closed at 4701.21, just below the current resistance at 4702.87. The index has closed higher for three days in a row, so today should see some selling come into the markets. Also, the volatility index (VIX) moved below its 20 – day moving average, which is another good sign the recent sell-off is probably over for now. 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… Read More
Headline News: U.S. stock futures were higher after drugmakers Pfizer (PFE) and BioNTech (BNTX) announced that a three-shot course of their COVID-19 vaccine was shown to have a neutralizing effect against the omicron variant. A booster shot was reported to increase antibody protection 25- fold compared to the initial two-dose series. Travel stocks continued to rally, with Norwegian Cruise (NCLH) higher by 2.6% and Delta Air Lines (DAL) higher by 2.4%. Markets: On Tuesday, the S&P 500 quickly moved past resistance 4652.94 and closed higher at 4688.75. The trading came with up volume accounting for 85% of all shares traded, and that was the second 80% or higher up day in a row. Also, the RSI closed above the 50 level in support of the two-day rally. We are moving back to a short-term bullish stance and are encouraged that a new uptrend is potentially in place. Possible resistance could now come in at 4702.87, and potential support could be at 4652.94. 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… Read More
Headline News: U.S. stock futures are set to open 1% higher as concerns over the Omicron variant appear to be easing. Big tech stocks Alphabet (GOOGL), Microsoft (MSFT), Amazon (AMZN), and Apple (AAPL) were all higher by 2% in pre-market trading. Travel stocks were trading higher this morning, hoping the U.S. economy would not be shut down due to the new variant. Markets: The S&P 500 tested support at the 50-day moving average, 4547.46, and also tested resistance at 4598.53 before closing at 4591.67 on Monday. We would still like to see a close above the current resistance, 4598.53, soon potentially ending the recent downtrend. So far this morning, the index is trading at 4652.25 in pre-market trading, just under the potential resistance at 4652.94. A close higher at those levels would potentially move us back to short-term bullish. 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 of principal, and futures trading could present additional risk based on underlying… Read More
Headline News: Wall Street is set for a higher open as investors appear to be looking past the threat of the omicron variant’s effect on the U.S. economy. Equities tied to the economic reopening were higher and large technology equities were lower in pre-market trading. Meanwhile, comments by Fed officials suggested that the central bank could be set to raise rates sooner than currently expected. Markets: The S&P 500 traded in a wide range on Friday while testing resistance and briefly breaking through the support level at 4504.73. The volatility index (VIX) remained high, showing there is still a large amount of fear in the U.S. equity markets. So, wide range days could continue to be the norm until the uncertainty about the new COVID-19 variant and the pace of economic growth. A close above possible resistance at 4598.53 would be a positive and could bring in some buyers, but caution is still warranted until then. 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,… Read More
