Daily Commentary
Headline News:
U.S. stock futures are higher today after a report came out that China is open to a partial trade deal with the United States. Also, a separate report sited that Beining was offering to increase its annual purchases of U.S. agricultural products. Fed chair Jerome Powell hinted at another rate cut saying the central bank will act “appropriate” at the October meeting.
Markets:
The S&P 500 sold off for the second day in a row on Tuesday to close at 2893.06, which is just above critical support at 2891.85. Volume was higher, but it was not enough to claim that the sellers are back in force. RSI moved lower again to close at the 40.05 and confirmed the down move for the day. If the index should move below the 2891.85, more selling could come into the markets, and possibly take the index down to the 10/2/2019 low of 2855.94.
We are currently long term bullish and short term bearish.
John N. Lilly III
Accredited Portfolio Management Advisor℠
Accredited Asset Management Specialist℠
Portfolio Manager, RJ
Partner, Windsor Wealth
Windsor Wealth
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.