U.S. stock futures are set to open higher on Thursday as oil prices rose on hopes of a Saudi-Russian deal to cut output. Also, the U.S weekly jobless claims rose to over 6 million as more cities are enforcing a stay-at-home policy. The report beat estimates of only 3 million, which has economists predicting a possible future unemployment rate of near 12%. Investors could be faced with a challenging day as economic data continues to be reported.
The S&P 500 moved below the trading range and support at 2500.07 on with below-average volume on Wednesday. The RSI index moved lower and closed at 41.85. The break of support is troubling, and unless the index can rally back above potential support at 2500.07 soon, the old lows could possibly be quickly tested. New potential support could come in at 2380.94
We are currently long-term bullish and short-term bearish.
John N. Lilly III
Accredited Portfolio Management Advisor℠
Accredited Asset Management Specialist℠
Portfolio Manager, RJ
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.
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Please add: Investing in oil involves special risks, including the potential adverse effects of state and federal regulation and may not be suitable for all investors.