Headline News: Wall Street is set for a lower open due to the potential for a slowing U.S. economy and a rise in COVID-19 cases. The weak jobs report on Friday gives the Federal Reserve room to delay the start of tapering bond purchases, but the increase in infection could slow the re-opening of the economy. Markets: The S&P 500 remains in a trading range of 4513.33-4537.36 and continues to build a base. The resistance at the top of the range has been tested twice, so the index looks set to, potentially, close at a new high soon. The RSI index remains below the overbought level, so there is still room to move higher, and the advance/decline line is also supportive of a break-out. 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 The Relative Strength Index (RSI), developed by J. Welles Wilder, is a momentum oscillator that measures the speed and changes of price movements. The advance/decline line (A/D) is a technical indicator that plots the difference between the number of advancing and declining stocks on a… Read More
Headline News: Wall Street is set for a higher open as investors speculate the Federal Reserve would maintain an accommodative policy. Recent economic data has indicated the U.S. economic recovery was slowing due to the rise in COVID-19 cases. Meanwhile, the number of Americans filing for unemployment fell last week while layoffs dropped to the lowest level in more than 24 years in August. Initial claims for unemployment fell by 14,000 to a seasonally adjusted 34,000 for the week ended August 28. Markets: The S&P 500 trade sideways again and remains inside the current trading range of 4513.33-4537.36. A base has now clearly formed, setting the index up for a potential new all-time high. We feel the index will continue basing today as investors await the jobs report released tomorrow morning. 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… Read More
Headline News: U.S. stock futures are higher to start the month despite a weaker than expected private jobs report out this morning. ADP reported that private payrolls rose 374,000, well below the projection of 600,000. A surge in COVID-19 cases and cutbacks in hiring were cited for the drop in new jobs created. There was an increase in hirings in the leisure and hospitality sectors, hopefully showing the economy is still on track to reopen. Markets: The S&P 500 traded sideways, closing at 4522.68 on Tuesday. We hope that a base will now form over the next few days so the index can potentially resume the uptrend. There is now a trading range of 4513.33-4537.36 established, which should also act as potential support and resistance. However, the S&P 500 is higher in pre-market trading and poised to open at a new high. If that should hold in the first thirty minutes of trading, the index could potentially rally the rest of the day. 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,… Read More
Headline News: U.S. stock future were flat to start the day as the last day of trading for August has the S&P 500 up 3%, Nasdaq Composite up 4%, and the Dow up 1.3% for the month. Investors have brushed aside fears of rising coronavirus cases and are focused on the Fed’s positive comments on the U.S. economy. Markets: The S&P 500 closed at 4528.79, and yes, that was another new all-time high. The index has now closed higher seven out of the last eight trading days, and a new uptrend is now firmly in place. Another positive it the net new high index has also moved close to a new high showing broad market participation. We feel that another small base at this level is needed before the index can potentially move higher, and today should be a sideways day of trading to start a new base. Possible support could come in at 4513.33 if the selling should accelerate. 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… Read More
Headline News: Wall Street is set for a higher open after remarks last week by the Federal Reserve were encouraging about future U.S. economic growth. Fed Chair Jerome Powell reaffirmed a steady economic recovery and explained there was no impending tapering of current fiscal policy. His remarks also indicated there would likely be no interest rate hikes soon. So, investors will now await the release of Friday’s job report for more data on the U.S. economy. Markets: The S&P 500 closed at 4509.37, another new all-time high on Friday. The rally came after a profit-taking day on Thursday brought the buyers back into the market who were looking to “buy the dip.” The advance/decline line also moved to a new high, showing support for the rally. The net new high index moved higher but has not yet, confirmed the rally. We feel the index has room to, potentially, move higher from these levels, and the RSI index not at the overbought level shows there is still room to move higher. Today should, in our opinion, produce another new high. We are currently Intermediate-term bullish and short-term bullish. John N. Lilly III CPFA Accredited Portfolio Management Advisor℠ Accredited Asset Management… Read More
Headline News: S&P 500 futures are set for a flat open a day after the index moved past the 4,500 level for the first time in history. Today, investors will be focusing on the Jackson Hole symposium, with speakers making remarks starting today. The President of the Kansas City Fed, Esther George, stated, “given the progress we have seen,” Fed tapering is “appropriate.” Meanwhile, weekly initial jobless claims came in at 353,000 and economic growth according to the Commerce Department for the second quarter totaled 6.6%. Markets: The S&P closed at 4496.19, another new all-time high on Wednesday. The index has now had five higher closings in a row. The advance/decline line also closed at a new high for the year, and the net new highs index rallied and broke through a down trend line. So, the internal indicators show broad participation in the rallies, which is a good sign that the rallies can, possibly, continue. Potential resistance is now at 4501.71, and possible support remains at 4480.26. Again, we hope for a base to form at these levels to consolidate the recent gains. We are currently Intermediate-term bullish and short-term bullish. John N. Lilly III CPFA Accredited Portfolio… Read More
Headline News: Even though reports show that delta variant cases may be peaking, Wall Street is set for a flat open. Positive cases are now rising at a lower rate, and investors appear confident the U.S. economy can continue to recover although at a slower pace. The Jackson Hole symposium starts on Thursday, where central bankers could provide updates on the potential for a tapering policy to begin. Chairman Jerome Powell is set to give a speech on Friday that will be closely watched for any guidance on future policy. Markets: The S&P attempted to move past the 4489.88 resistance level but could not breakout. The index did close at a new all-time high of 4486.26 after trading in a tight range. So, we are hopeful a new base can be formed at these levels as the market takes a pause. The advance/decline line is now at a new high for 2021, encouraging more potential upside trading soon. The net new high index plunged, showing a select few stocks are now moving the market higher. There will need to be broad participation of more stocks to start another new potential uptrend. Possible resistance is now at 4492.81, and potential support… Read More
Headline News: U.S. stock futures are set to open higher after the market rallied on Monday on news the FDA granted full approval to the Pfizer (PFE) BioNTech’s Covid vaccine. The move was seen as a positive for the continued health of the U.S. economy. Meanwhile, the second-quarter earnings season is winding down, and Refinitiv reported that S&P 500 earnings are set to grow by 94.7% year over year. Markets: The S&P 500 rallied for the third day achieving a new intraday all-time high of 4489.88, then closing at 4479.53. Volume was below average for the second day in a row, and all three internal indicators did not move to a new high. The V-shaped rally has been impressive, but we feel the index has moved too far too fast and needs to consolidate the gains. Potential support is now at 4533.32, and possible resistance is now at 4489.88. A base at these levels with some sideways trading would be helpful to continue the rally. We are also 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… Read More
Headline News: U.S. stock futures are higher as investors appear to be back in a risk-on mood to start the week. Large-cap oil companies such as Chevron (CVX), Exxon (XOM), and Schlumberger (SLB) were all higher by 2% in pre-market trading. Meanwhile, the rise in COVID-19 cases has created fears the global recovery could slow down. However, the FDA could approve the Pfizer (PFE) vaccine this week, which has calmed some of the concerns. Markets: The S&P 500 rallied again on Friday and closed higher at 4441.67. The index moved past a vital resistance level at 4422.73 on lower volume of 1,826,656,896. All three internal indicators also moved higher in support of the rally. S&P 500 futures are set to open higher and above potential resistance at 4544.32, setting the tone for a possible move higher for a third day. The higher open would have the index regaining all ground lost from the recent selloff and potentially set up another new uptrend. 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 was set to open lower as concerns over a slowing economy and tapering of monetary stimulus. This, along with the continued spread of the delta variant, has the S&P 500 set for the worst weekly performance since mid-June. Also, WTI crude oil was down 9% for the week, along with copper down 7%. Investors appear to be turning cautious and worried the trading could be choppy going forward. Markets: The S&P 500 moved down to support at 4373.00, briefly moved lower, and then rallied to end the day higher at 4405.80. The trading came with increased volume as 2,200,109,312 shares were traded. The index also moved close to a 38.2% Fibonacci level, so we know there are now two possible support levels at the same price level. So, there could be a retest of these support levels today and then a likely late-day rally again. If so, we believe the recent sell-off could be over for now. 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… Read More
