U.S. stock futures were higher Wednesday morning after Google-parent Alphabet (GOOGL), and Boeing (BA) posted solid earnings. Also, there is continued optimism of more states opening back up, adding to the bullish tone. However, investors will brace for more economic reports that could reveal a contraction in Q1. The Commerce Department’s report is expected to show a 4% decline in GDP for the Q1, and the Federal Reserve will issue a policy statement today at the end of their two-day meeting.
The S&P 500 traded above the resistance level of 2879.22 to start the day only to selloff and closed the Tuesday at 2863.39. There was a pick up in volume, which shows the sellers might be coming back into the markets. If so, potential support could come in at 2825.60 and then the50-day moving average at 2787.46. We feel that a new uptrend is likely in place, and any selling will be met with new buyers are support levels.
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
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