Wall Street is set to rally at the open on hopes of the U.S. economy reopening soon, and reports of a potential drug to treat COVID-19. Gilead Sciences (GILD) reported patients with severe symptoms had responded well to an experimental drug. The report also showed patients were showing rapid recovery after being treated. Also, President Trump laid out plans to reopen the economy that has investors hopeful of a possible return to normal soon.
The S&P 500 traded flat and within the trading range of 2711.33-2825.60 on Thursday. The trading was a day of base building that we have wanted to see that could set up a new move higher. Volume was near the same of the last three days, and that is a key part of base building. So, we like the recent trading action and continue to believe the index can possibly test potential resistance at 2825.60 soon.
We are currently long-term bullish and short-term bullish.
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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