Daily Commentary
Headline News:
Wall Street is set for a higher open to start the week as more states begin to lift coronavirus shelter in orders. A white House economic advisor reported that the U.S. jobless rate would likely hit 16% or more for April, and that could lead more states to begin to reopen for business. Investors will also be on alert for Q1 earnings reports included Apple (AAPL) and Microsoft (MSFT) later this week. There will also be a Federal Reserve meeting on Wednesday, but expectations are low for more easing from the U.S. central bank.
Markets:
The S&P 500 closed at 2836.74 on Friday, which was above resistance at 2825.60 and the 50-day moving average at 2807.71. The move came with average volume along with an RSI rising in support to close at 55.01. So, we consider this a possible start to a new uptrend. There will need to be a follow-through day with above-average volume to confirm the uptrend. Potential resistance could still come in at 2879.22, while possible support will come in at 2807.74.
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
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 S&P 500 is an unmanaged index of 500 widely held stocks that is generally considered representative of the U.S stock market. Past performance may not be indicative of future results. Keep in mind that individuals cannot invest directly in any index, and index performance does not include transaction costs or other fees, which will affect actual investment performance. Individual investors’ results will vary. Opinions expressed are those of the author John N. Lilly III, and not necessarily those of Raymond James. “There is no guarantee that these statements, opinions or forecast provided herein will prove to be correct. “The information contained was received from sources believed to be reliable, but accuracy is not guaranteed. Investing always involves risk and you may incur a profit or loss. No investment strategy can guarantee success. The charts and/or tables presented herein are for illustrative purposes only and should not be considered as the sole basis for your investment decision. International investing involves special risks, including currency fluctuations, different financial accounting standards, and possible political and economic volatility. Investing in emerging markets can be riskier than investing in well-established foreign markets.
This is not a recommendation to purchase or sell the stocks of the companies mentioned.