FXTM information and reviews
OctaFX information and reviews
XM information and reviews
FXCC information and reviews
Libertex information and reviews
FxPro information and reviews

This Is What The US Stock Market Breadth Telling Us

16 July 2021

The US banking sector pretty much drove the price action for the US indices this week while the technology sector drifted mostly lower. Investors believe that the US stock market can continue to challenge its all time highs as long as the stimulus program remains in place. Jerome Powell, the Fed Chairman, has made it clear this week that the Fed is no rush to taper the current program and this has only strengthened the current view that investors hold about the US stock market.

In the energy market, expectations of extra supply hitting the market next month has made investors to take some chips of the table. Having said that, it is likely that we may continue to see higher Crude and Brent oil prices in the next few weeks as extra supply is likely to be absorbed by strong economic recovery in the US and around the globe.

Asian Markets 

The Asian stock market traded mostly lower on Friday. The Nikkei index declined 0.81%. The HSI index increased by 0.47%, while the Shanghai index fell by 0.02%. The ASX index declined by 0.01%.

The Dow Jones’ market breadth gained further momentum yesterday. 87% of the Dow Jones stocks traded above their 200-day moving average. 

The S&P 500 stock breadth weakened yesterday. 86% of the shares traded above their 200-day moving average. 

Dow Jones Futures Today

The Dow Jones futures are trading higher today. In terms of economic data, investors will be looking at the US Core Retail Sales number which is due later. The forecast for this number is to rise by 0.4% while the previous number came in at -0.7%. In addition to this, we also have the US Prelim Consumer Confidence and the forecast is for 86.5 which is same as the previous reading. 

The Dow Jones continues to trade near its all time high on the daily time frame. The Dow is maintaining its upward trend and traders have taken every selloff as an opportunity to bag bargains. However, traders may want to be cautious with their approach as the price could be forming a double top, a reversal pattern, as the price revisits its all time high.

Overall, bulls are fully in control of the price for now as the price continues to trade above the 50, 100 and 200-day SMA on the daily time frame. The near term support is at 34,319, while the resistance is at 35,015.    

Stock Market Rally

The S&P 500 stock index closed lower yesterday; the index increased by 0.33%. The tech sector led the index higher and 8 out of 11 sectors closed higher.  The Dow index closed higher yesterday; the Dow stocks moved the index higher by 0.15%. 12 shares advanced, while 18 shares closed lower. 

The NASDAQ composite, a tech-savvy index, closed lower by 0.70% yesterday.

S&P 500 Leaders and Laggards: AIG

AIG stock contributed the biggest gain, soaring 3.02%. Teleflex stock was the largest drag; it fell by 9.62%. The S&P 500 stock index is up 8.12% so far this year. Dow Jones Leaders and Laggards: Honeywell International and Salesforce.com

Honeywell International  provided the biggest help for the Dow Jones; it advanced by 2.19%, while Salesforce.com was the largest decliner, it fell by 2.11%. 




Trading the SPDR S&P 500 ETF Trust
Trading the SPDR S&P 500 ETF Trust

The Standard & Poor’s (S&P) 500 Index measures the market capitalisation of the top 500 US largest corporations. Many traders and investors use the S&P 500 Index as a benchmark...

23 Sep 2022

Gold pauses as traders await Fed decision
Gold pauses as traders await Fed decision

The anticlimactic performance of gold continues as the prospect of aggressive rate hikes by central banks around the world amid heightened inflationary pressures...

21 Sep 2022

Developing a forex trading plan: All you need to know
Developing a forex trading plan: All you need to know

All forex traders have different backgrounds, market views, risk appetite, thought processes and expectations. Therefore, traders should not just blindly follow what other traders do...

20 Sep 2022

NordFX: Forex and Cryptocurrencies Forecast for September 19-23, 2022
NordFX: Forex and Cryptocurrencies Forecast for September 19-23, 2022

The World Bank said last week that risks of a recession in 2023 are growing amid simultaneous tightening of monetary policy by the world's leading Central banks and the energy crisis in Europe...

19 Sep 2022

Gold gains traction on the back of weaker dollar
Gold gains traction on the back of weaker dollar

The precious’ recent rally from its near year-to-date lows could be attributed to the broader dollar weakness observed in the past week, even though it remains elevated near its 20-year highs...

14 Sep 2022

NordFX: Forex and Cryptocurrencies Forecast for September 12 - 16, 2022
NordFX: Forex and Cryptocurrencies Forecast for September 12 - 16, 2022

The past week was marked by two significant events. First, the EUR/USD pair updated its 20-year low on Tuesday, September 06 once again, falling to 0.9863...

12 Sep 2022

Editors' Picks

HFM information and reviews
IronFX information and reviews
FXCM information and reviews
NordFX information and reviews
Vantage information and reviews
FP Markets information and reviews
FP Markets

© 2006-2022 Forex-Ratings.com

The usage of this website constitutes acceptance of the following legal information.
Any contracts of financial instruments offered to conclude bear high risks and may result in the full loss of the deposited funds. Prior to making transactions one should get acquainted with the risks to which they relate. All the information featured on the website (reviews, brokers' news, comments, analysis, quotes, forecasts or other information materials provided by Forex Ratings, as well as information provided by the partners), including graphical information about the forex companies, brokers and dealing desks, is intended solely for informational purposes, is not a means of advertising them, and doesn't imply direct instructions for investing. Forex Ratings shall not be liable for any loss, including unlimited loss of funds, which may arise directly or indirectly from the usage of this information. The editorial staff of the website does not bear any responsibility whatsoever for the content of the comments or reviews made by the site users about the forex companies. The entire responsibility for the contents rests with the commentators. Reprint of the materials is available only with the permission of the editorial staff.
We use cookies to improve your experience and to make your stay with us more comfortable. By using Forex-Ratings.com website you agree to the cookies policy.