U.S. S&P 500 futures are higher and have the index set to open at a new all-time high. The trading could continue to be muted due to the holiday week, and several European markets set to be closed all day tomorrow. Investors will continue to monitor a potential new stimulus bill being passed before the end of the year and provide relief to the U.S. economy.
The S&P500 traded at a new all-time high at 3756.13 only to sell off down to current support at 3723.03 and closed at 3727.03. The rejection of an all-time high closing is a concern, but volume was low at 1,635,559,552, showing low participation from traders during a holiday week. We feel the index will remain in the current range until high volume buying comes back, potentially next week. Until then, the markets could be choppy.
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
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 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.