Wall Street is set to open lower this morning after President Trump’s dour comments on a possible trade deal over the weekend. The President said the talks are moving slower than he would like, and he would only make the “right deal” for America. Now that the Q3 earnings season is over, investor’s attention should shift to the upcoming year-end economic data.
The S&P 500 has formed a base of 3050.72-3097.77 near the all-time high set on 11/7/2019. The RSI index is above the overbought level at 70.22, so short term cautious is warranted. The new uptrend that started in October needs a base at these levels to consolidate the gains, and we feel the index could move higher after more sideways trading.
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, 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.