The Super Technical Indicator That Says the S&P 500 Could Enter a New Bull Market Today
The S&P 500 is approaching a bull market, but it’s taking its sweet time. According to Bespoke, the last time it took this long for the index to enter a new bull market was in the late 1950s.
We’re going to look at a chart of the S&P 500 (SPY). For those who don’t know, the SPY is a weighted ETF, meaning some stocks help move the price of the ETF more than others.
Does This Chart Show The Rest Of The S&P 500 Is Ready To Join The Rally?
After Friday’s blowout rally, the market was muted yesterday. There wasn’t a major catalyst to help the market move in one direction or another. So, let’s look at something else I find interesting.
We’re going to look at a chart of the S&P 500 (SPY). For those who don’t know, the SPY is a weighted ETF, meaning some stocks help move the price of the ETF more than others.
Short Squeeze Ignites Market Rally as Wage Inflation Remains Low
The mother of all short squeezes took place on Friday after various economic reports showed that wage inflation remains low and the debt default debate is behind us.
The following chart plots out the percentage monthly change for wages and you can see that around 5% is the normal range we’ve seen for years up until the pandemic. Then came the Covid drop followed by the Covid recovery as employers had to compete to bring back only the best workers.
Debt Ceiling Debate, Volatility, and Fed Rate Hike Expectations
As the debt ceiling debate moves from the House to the Senate, positive market sentiment has led to another day of successful trading. Notably, the Volatility Index (VIX) has witnessed a significant drop, indicating that traders are not overly concerned about the prospects of a deal being signed.
Strong Jobs Market And Sluggish Manufacturing Leads To A Confused Market
The US job market surprised analysts with an unexpected rise in new jobs, indicating a stronger labor market than anticipated. However, China’s manufacturing and service sectors reported a greater slowdown than expected.
Debt Ceiling Drama Looms as Tech Stocks Defy Gravity: Will the AI Rally Continue?
Will they or won’t they vote to raise the debt ceiling? That’s the question that is towering over the markets after the extended weekend break from trading.
Market Rebounds Amid Debt Ceiling Drama and AI Optimism, but Inflation Concerns Mount
The debt ceiling drama combined with companies talking about the future of artificial intelligence has spun the markets into a fever pitch. The good news is that it helped break the markets out of the range it’s been in for weeks. Even though a lot of the recent discussion has been around Nasdaq stocks, the weekly chart of the S&P 500 (SPY) is showing a shift away from the bear market.
AI Frenzy Steals the Spotlight From Debt Ceiling Debate
It wasn’t that long ago that I said to forget about the debt ceiling debate because the Nasdaq is the true star in the room. That was on display yesterday as the Artificial Intelligence frenzy pushed the market higher.
Uncertainty Surrounds the Fed’s Next Move
The recent release of the Federal Reserve’s meeting minutes has left many questioning what lies ahead. With persistent high inflation and a string of ten consecutive rate hikes, reaching a 16-year high at around 5.1%, the central question remains: how much higher is the Fed willing to go?
Forget Debt Ceiling Drama – The Nasdaq Is The Star Of The Show
While the market’s new obsession is the debt ceiling, the reality is that it’s the opening act for what’s really happening in the market. However, even opening acts can stunt the otherwise amazing performance of the main attraction.