Daily Commentary
Headline News:
U.S. stock futures are set to open lower as worries about high stock valuations, rising COVID-19 cases, and slow vaccine rollouts have investors cautious to start the day. However, Microsoft (MSFT) was higher by 2.0% in pre-market trading after announcing positive fourth-quarter earnings. The focus will now be on Apple (AAPL), Tesla (TSLA), and Facebook (FB), as they all will announce later today.
Markets:
The S&P 500 attempted to break out of the current 3826.69-3856.75 trading range but failed, closing lower at 3849.62. The volume was lower, with 2,537,872,384 shares traded. The index is still forming a base inside the range and is still in a position to, potentially, close at another new all-time high soon. As long as possible, support at 3826.69 continues to hold; we feel confident that a new uptrend will potentially be in place soon.
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
Partner, DJWMG
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.
This is not a recommendation to buy or sell any company’s stock mentioned above.