Overview To Date: Since the December 2018 lows the S&P 500 had rallied about 30%. The S&P 500 made a new all-time high on July 26. With talk about trade wars and concerns over interest rates, the market moved into a period of correction. August 5, 14 and 23 were major high-volume down days. Each was followed by high-volume up days, as was seen after the August 23 down day. Each of the major sell-off days were on declining volume indicating the selling pressure is abating. Over the last two weeks, there have been a series of correction over signals such as strong up volume days. The S&P 500 has confirmed the correction over signals by closing above 2950 at 2978. Next step to confirm a continuation of the intermediate uptrend started in December of 2018, and another leg up in the long-term bull market, is for the S&P 500 to make a new high time high above 3030.

Overview To Date: Since the December 2018 lows the S&P 500 had rallied about 30%. The S&P 500 made a new all-time high on July 26. With talk about trade wars and concerns over interest rates, the market moved into a period of correction. August 5, 14 and 23 were major high-volume down days. Each was followed by high-volume up days, as was seen this last week after the August 23 down day. Each of the major sell-off days were on declining volume indicating the selling pressure is abating. The market as represented by the S&P 500 has remained in a tight trading range between about 2820 and 2950. What is needed at this stage to confirm the August correction is over and the uptrend is resuming, is a clear close by the S&P 500 above 2950, and then continue to make new high time high above 3030.

Overview To Date: Since the December 2018 lows the S&P 500 had rallied about 30%. The S&P 500 made a new all-time high on July 26. With talk about trade wars and concerns over interest rates, the market moved into a period of correction. August 5 and 14 were major high-volume down days. Each was followed by high-volume up days. Friday’s August 16 was a high-volume up day and was followed by positive market action confirming correction over signals. Then another round of trade war news hit, and all markets sold off sharply on Friday, August 23. Friday was a high-volume down day and pulled intermediate and short-term risk signals to OFF.

Overview To Date: Since the December 2018 lows the S&P 500 had rallied about 30%. The S&P 500 made a new all-time high on July 26. With talk about trade wars and concerns over interest rates, the market moved into a period of correction. August 5 and 14 were major high-volume down days. Each was followed by high-volume up days. Friday’s action was a high-volume up day and came close to correction over signal. One or two more high-volume up days, with at least one day of 90% of advancing stocks over declining stocks to confirm correction over. This is a news-driven market and the correction may extend on before getting clear correction over signals.

Global Markets Trends and Review Week Ending August 9, 2019 Review of global markets starting with the US Performance chart of world markets Chart of China Large-Cap (FXI) Performance chart of major US market sectors Large-Cap (S&P 500) vs. Small-Cap (S&P 600) Sector Highlight; Technology, Restaurants & Bars and Consumer Specialized Services Seasonality of the […]

Overview To Date: Since the December 2018 lows the S&P 500 had rallied about 30%. The S&P 500 made another new all-time high the previous week while waiting on the US Federal Reserve meeting and progress on the Chine/US trade negotiations. The US Federal Reserve did reduce the US short-term rate by 25 basis points as expected. But the markets did not like Reserve Chairman Powell comments after the meeting and the markets sold off sharply. The next day (Thursday) the markets rallied, recovering most of the previous days loss, and then Trump tweeted about more tariffs on Chinese goods. …

Overview To Date: Since the December 2018 lows the S&P 500 had rallied about 30% and made another new all-time high this week. The S&P 500 sold off during May. Since the June 3rd low, the markets have rallied back making new highs.

Again this week, many US market indexes and sectors made new highs. Some of the US sectors making new highs were Technology, Materials, Financials, Consumer Staples, and Communications. The US Utilities Sector was off over concerns of interest rates.

Continued to see some weakness in non-US foreign markets. Notable, was strength in US small-caps equities showing an interest by investors in higher-risk investments.

Many US market indexes and sectors made new highs early in the week. Some of the major US indexes making new highs again were S&P500, the Dow Jones Industrials, Nasdaq Composite, and the NYSE (New York Stock Exchange) Composite. US sectors making new highs were Technology, Consumer Discretionary, Consumer Staples, and Communications. As the week went on, prices pulled back. The price action looked more like profit-taking as investors waited on earnings reports.

Many US market indexes and sectors made new highs last week. Some of the major US indexes making new highs were S&P500, the Dow Jones Industrials, Nasdaq Composite, and the NYSE (New York Stock Exchange) Composite. US sectors making new highs were Technology, Consumer Discretionary, and Financials. The Industrials sector is closing on a new high, and its strength is a measure of investors expectation of the US economy.

Global Markets Trends & Review Week Ending July 5, 2019 Review of global markets starting with the US Performance chart of world markets including a chart of Euro STOXX 50 ETF Chart of China Large-Cap (FXI) Performance chart of major US market sectors Large Cap (SP500) vs. Small-Cap (SP600) Sector highlight Technology and Consumer Specialized […]