The S&P500 is back to its winning ways, closing +5.65% YTD. This sent SPY back above its 9/20ema, forcing RSI and stochastic to turn higher as a result. Volume was above average. SPY is trading higher (239.18) in the pre-market session as well, currently 0.47% below ATH.
WTIC daily is basing at its 200ma. Pre-market trading is positive by 0.50% (+/-). If this strength persists, look for XLE to push higher into its descending channel.
Working together with SPY and crude, high yield debt instruments rallied, as JNK clearly illustrates. Possible targets are VBP resistance then the upper trend line. Volume matched that of Tuesday, as traders jumped back into positions after Yelle’s comments. She raised rates 0.25.
Every sector was green yesterday, rallying to close near session highs. Until the indices get overbought again, price tells the story. Above the 9/20ema is bullish. TICK cumulative on both the NYSE and NASDAQ confirm that institutions are buying on the uptick.
Stay tuned and Happy Thursday.
Disclaimer: Do your Own Research
Our content is intended to be used and must be used for informational purposes only. It is very important to do your own analysis before making any investment based on your own personal circumstances. You should take independent financial advice from a professional in connection with, or independently research and verify, any information that you find on our Website and wish to rely upon, whether for the purpose of making an investment decision or otherwise.
We would like to draw your attention to the following important investment warnings. The value of shares and investments and the income derived from them can go down as well as up; Investors may not get back the amount they invested – losing one’s shirt is a real risk; past performance is not a guide to future performance.