Wednesday belonged to the bulls. 62% of stocks posted gains.
All four indexes closed green. And the Dow and S&P 500 snapped 3-day losing streaks…
Take note of the biggest gainer…
All 11 sectors ended the day green.
- Energy (XLE) led with a gain of 1.2% as the price of crude climbed
- Real Estate (XLRE) came in second, adding 0.8%
- The remaining 9 sectors settled with modest gains between 0.6% and 0.1%
Peloton (PTON) rocketed 20% higher after announcing plans to sell products on Amazon (AMZN).
- The stock is still down 88% over the past year.
- The company is expected to report another loss on its earnings call this morning.
Meme stock Bed Bath & Beyond (BBBY) rallied 18% on positive news.
- The troubled retail is nearing a deal to borrow $400 million, according to a Wall Street Journal report.
- The company had been facing liquidity issues, according to the report.
Check out this chart that tracks the S&P 500…
While we wanted to see the market hold above the top line … The current sideways movement is showing us a strong area of demand.
We are waiting for confirmation that the bullish trend will continue.
If the SPY closes above $420, we’ll flip back bullish.
Our current stance is neutral.
On that note, we are not interested in timing these turns perfectly. The first and last tick of a trend are always the most expensive ticks of the trend.
The other signals we’re tracking…
- RSI levels are neutral
- The VIX remains below the key level of 25
- The put-to-call ratio is also neutral
The market is free to move higher if it wants.
- Tesla’s (TSLA) 3-to-1 stock split is set to take effect. Shares are higher in premarket trading.
- The final Q2 GDP number is set to be released at 8:30 this morning.
This week’s main event is scheduled for Friday…
- At 10 a.m. Fed Chair Powell will speak at the annual Jackson Hole Economic Symposium.
*NERV resistance at $8
*SSY support at $1.60
*RVAC is on watch
AXSM is on watch
COGT support at $16
VERV support at $38
RYTM support at $23
CSIQ support at $42, resistance at $45
FLNC support at $19
INFI support at $1.60
PRVA support at $40
^GEO support at $7.50
SEEL resistance at $1.25
ENVX resistance at $25
CANO resistance at $7
TCRT support ta $2
^GERN resistance at $2.50
GSAT support at $1.80