The S&P remains extended from the 200-day moving average and there are signs the rally has weakened a bit (RSI/MACD).
Even though the signals are still green, there’s more downside risk than upside potential at this point. That doesn’t mean the S&P couldn’t go higher before another sell-off, only that now is a good time to take profits!
More commentary after the jump... Stock Market Outlook - Week of November 29 2020
The S&P found support near the 13-day moving average, but is still extended from the 200-day (~12% which is high historically).
Sector rotation is in full swing as investors digest the pandemic's growing second wave and positive vaccine news from Moderna and Pfizer.
Stocks that have lead the market higher may be dominating your portfolio, whether you hold them outright or as part of an index fund (e.g. Amazon, Target, Google, etc.). Take a moment to review your holdings and make sure you have the best companies across a wide variety of sectors.
More commentary after the jump... Stock Market Outlook - Week of November 22 2020
Positive news on the COVID vaccine front supported U.S. stocks last week, but the S&P also sits ~12% above the 200-day moving average, which typically means we're in for another correction.
More commentary after the jump...Stock Market Outlook - Week of November 15 2020
Markets typically perform well when there is gridlock in the U.S. government (which we appear to have), a positive for equities longer term.
But the next few months are less certain, as recounts are almost a given in states with close races, and the current administration is launching multiple lawsuits to investigate vote counting processes.
More commentary after the jump... Stock Market Outlook - Week of November 08 2020
The ADX continue to worsen last week, price & volume accelerated through the 50-day moving average, and the bearish OEW count found new life.
U.S. elections are Tuesday, and it's really anyone's guess as to how it will turn out, both from a Presidential as well as a Congressional standpoint.
More commentary after the jump... Stock Market Outlook - Week of November 01 2020
