Headline News: U.S. stock futures are mixed, and the 10-year Treasury is lower to start a new week. Investors will be watching interest rates closely after Fed Reserve officials stated the recent rise had not caused a policy change. The central bank will hold meetings on Tuesday and Wednesday, and Chairman Powell is expected to strike a dovish tone for future policy. Markets: The S&P 500 closed at 3943.34, just under potential resistance at 3950.43. The index appears to be starting a base that we feel could lead to another new all-time high. Volume was again lower, with only 2,263,134,720 shares traded on Friday. Potential support could now come in at 3928.65 and then 3914.50. We believe those levels could hold, forming a new base and a pause in the recent rally. We are currently long-term bullish and short-term bullish. John N. Lilly III CPFA Accredited Portfolio Management Advisor℠ Accredited Asset Management Specialist℠ Portfolio Manager, RJ 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… Read More
Headline News: Wall Street is set for a higher open after U.S. bond yields moved to a one-week low in pre-market trading. The 10-year Treasury was trading at 1.5% easing concerns of higher inflation. Congress passed the $1.9 trillion COVID-19 relief bill, which is expected to improve economic growth. Also, the number of Americans filing for unemployment benefits report came in lower than expected. The initial claims were 712,000 down from 754,00 the prior week, showing an improving labor market. Markets: The S&P 500 traded above resistance at 3914.50 but sold off late to close at higher on the day 3898.81. The recent rally has come with lower volume each day, so we still believe a pause with a base is needed. The RSI index did move higher in support of the up move and closed at 54.89. The S&P 500 did break the trend of lower highs which is a bullish signal. We will now move to a short-term bullish stance. The index now has potential resistance at 3914.50 and then 3928.65, and it could have possible support at 3885.76 and then 3870.90. The We are currently long-term bullish and short-term bullish. John N. Lilly III CPFA Accredited Portfolio… Read More
Headline News: U.S. stock futures are higher after the February consumer price index showed inflation not increasing rapidly. The data showed a February increase of 0.4% and year-over-year growth of 1.7%, both inline with expectations. The news appears to ease concerns over rising interest rates and rising consumer prices. The closely watched 10-year Treasury yield was lower at a rate of 1.56% in early trading, and that has traders in a bullish mood. Markets: The S&P 500 raced past resistance at 3870.90, sold off from the high late in the day, and closed higher at 3875.44. Volume was above average with 2,770,601,472 shares traded, and RSI moved past the middle line closing at 52.68. The index has now formed a V-shaped pattern off the 3/4/2021 low, and a base could be needed to consolidate recent gains. Potential resistance could now come in at 3914.50 if the current rally continues today. We are currently long-term bullish and short-term cautious. John N. Lilly III CPFA Accredited Portfolio Management Advisor℠ Accredited Asset Management Specialist℠ Portfolio Manager, RJ Partner, DJWMG Windsor Wealth Planners & Strategist Futures trading is speculative, leveraged, and involves substantial risks. Investing always involves risk, including the loss of principal,… Read More
Headline News: U.S. stock futures are higher after a pullback in bond yields to start the day. The U.S. 10 year Treasury bond yield moved to 1.54% after achieving a 12 month high of 1.613% on Monday. The rate increase came as investors began to price in a faster economic recovery and potentially higher inflation. However, today the high valuation stocks that have been beaten down are rebounding in pre-market trading and has the index set for another potential wide rang trading day. Markets: The S&P 500 raced past resistance at 3870.90 only to selloff and closed lower at 3821.35. The close was below the critical 50-day moving average, which is now at 3821.35. The trading came with much lower volume, with only 2,978,129,920 shares traded. So, the index is now in jeopardy of testing potential new support at 3789.54. A further concern is that the index has been posting a series of lower highs on each rally, which typically means sellers still control the index. We will remain short-term cautious for now. We are currently long-term bullish and short-term cautious. John N. Lilly III CPFA Accredited Portfolio Management Advisor℠ Accredited Asset Management Specialist℠ Portfolio Manager, RJ Partner, DJWMG Windsor… Read More
Headline News: U.S. stock futures are lower despite the passage of President Biden’s $1.9 trillion Covid relief bill. The bill provides another round of stimulus checks and an extension to the unemployment benefits. The 10-year Treasury yield moved back up to 1.6%, and investors fear that could potentially cause more selling in high valuation stocks. Markets: The S&P 500 had another wide-ranging with massive volume to close out the week. The index tested the 3/4/21 low 3726.34 and then rallied back above the resistance of 3830.41 to close higher at 3841.94. The volume came in at 3,302,966,784, and RSI moved higher in support to close at 49.16. So, potential support is now back at 3830.410 and the 50-day moving average at 3821.99. We expect some early selling to come in early today, which is normal, but the current support levels need to hold to keep the sellers on the sidelines. We are currently long-term bullish and short-term cautious. John N. Lilly III CPFA Accredited Portfolio Management Advisor℠ Accredited Asset Management Specialist℠ Portfolio Manager, RJ Partner, DJWMG Windsor Wealth Planners & Strategist Futures trading is speculative, leveraged, and involves substantial risks. Investing always involves risk, including the loss of principal,… Read More
Headline News: U.S. stock futures are surging to start the day after a stronger-than-expected jobs report was released. Also, a continued drop in the COVID-19 case has investors encouraged about the U.S. economy. Nonfarm payrolls increased by 379,000 last month, added by a significant increase in restaurant hirings. However, the yield on the 10-year Treasury moved above 1.6% after the report. Federal Reserve Chairman commented that the move in the rates “has caught his attention”, but he did not give any guidance on how the central bank might react. Markets: The S&P 500 closed well below the 50-day moving average and old support at the 2/26/2012 low. The trading came with massive volume with 3,360,170,240 shares traded, and RSI also dove lower in support of the selling to close at 40.64. New potential support could now come in at 3694.12, and we feel that level could possibly be tested soon. The index could see a snap-back rally today, but any rally could potentially be met with more buying to close out a tough week for markets. We are currently long-term bullish and short-term cautious. John N. Lilly III CPFA Accredited Portfolio Management Advisor℠ Accredited Asset Management Specialist℠ Portfolio Manager, RJ… Read More
Headline News: U.S. stock futures are flat after better than expected weekly jobless claims by the Labor Department. First-time filings for unemployment insurance totaled 745,00 for the week ending February 27. That was a drop from 7500,000 the previous week. Investors will also be watching a speech on the economy by Federal Reserve Chairman Jerome Powell later today. Also, pre-market, the U.S. 10-year Treasury yield was 1.48%, well below the 1.6% yield achieved on 2/25/2021. Markets: The S&P 500 closed at 3819.72, which was below support at 3830.41. The selling did intensify during the day once that level was breached. So, the index is now just above the critical 50-day moving average at 3817.87. Also adding to the concerns, RSI 45.59 again closed below the mid-line in support of the selling. Volume was above average, with 2,702,671,872 shares traded. The index needs to close above the 50-day average, or we feel a test of the 2/26/2021 low at 3789.54 could potentially be immanent. We are currently long-term bullish and short-term cautious. John N. Lilly III CPFA Accredited Portfolio Management Advisor℠ Accredited Asset Management Specialist℠ Portfolio Manager, RJ Partner, DJWMG Windsor Wealth Planners & Strategist Futures trading is speculative, leveraged, and… Read More
Headline News: Wall Street is set for a higher open as the rapid roll-out of vaccines and new stimulus brought in hopes of an economic rebound. The U.S. Senate is expected to take up President Biden’s relief package today, and they aim to sign it into law by March 14. However, the ADP National Employment Report came in lower than expected for February, suggesting a struggling labor market. Private payrolls only increased by 117,000 jobs, and January’s report was revised up to 195,000. Markets: The S&P 500 closed lower at 3870.29, which was below a support level at 3870.29. The selloff was about half the previous days’ range and is very typical after a wide-ranging day. The volume came in much lower with 2,281,166,080 shares traded and RSI remained above the 50 level, closing at 51.31. If support at 3870.29 is broken again at the open, the index could possibly test 3830.41 quickly, so an up day with high volume is critical today. We are currently long-term bullish and short-term cautious. John N. Lilly III CPFA Accredited Portfolio Management Advisor℠ Accredited Asset Management Specialist℠ Portfolio Manager, RJ Partner, DJWMG Windsor Wealth Planners & Strategist Futures trading is speculative, leveraged, and… Read More
Headline News: Wall Street is set for a lower open after the S&P 500 was higher by 2.4% on Monday. Investors will be watching as the U.S. Senate will begin debates on President Biden’s $1.9 trillion coronavirus relief package. However, concerns remain over a rise in the 10-year Treasury yield signaling a possible spike in inflation and fears over high valuations in equity markets. Markets: The S&P 500 rallied past resistance at 3870.90 to close higher at 3901.82. The trading came with advancing issues accounting for 80% of the volume signaling intense buying pressure. The RSI index moved past the middle line in support of the rally closing at 55.34. We feel the index needs another 80% upside volume day and close above potential resistance at 3928.65 for the recent selloff to potentially be over. We are currently long-term bullish and short-term cautious. John N. Lilly III CPFA Accredited Portfolio Management Advisor℠ Accredited Asset Management Specialist℠ Portfolio Manager, RJ 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… Read More
Headline News: U.S. stock futures are set to open higher as bond markets calmed, a new stimulus package was passed, and positive vaccine updates. The U.S. 10-year treasury moved from 1.614% down to 1.446%, easing the threat of a higher interest rate environment. President Biden was able to get his $1.9 trillion coronavirus relief package passed early Saturday, and the bill will now move to the Senate. Johns & Johnson (JNJ) began shipping its single-dose vaccine after becoming the third authorized COVID-19 vaccine in the United States. Markets: The S&P 500 traded below the 50-day moving average level of 3808.40, rallied up to resistance at 3870.90 and closed lower on the day at 3811.15. The trading came on massive volume at 3,120,232,704 while RSI moved lower, closing at 43.50, well below the critical 50 level. The last three trading days have been wide-ranging with above-average volume, and it is clear buyers and sellers are battling for control of the S&P 500. The index is in need of a catalyst to move it in either direction before these choppy days end. We are currently long-term bullish and short-term cautious. John N. Lilly III CPFA Accredited Portfolio Management Advisor℠ Accredited Asset… Read More
