Markets spend the major of Monday flat. But in the final hour, buyers showed and pushed all four major indexes higher.
- Dow Jones +0.6%
- Nasdaq +0.8%
- S&P 500 +0.7%
- Russell 2000 +0.8%
But beneath the surface, there were still signs of weakness.
Of all listed stocks, only 55% advanced, while 41% declined.
9 of 11 ended the day higher. The charge higher was broad…
- Materials (XLB) +1.7%
- Consumer Discretionary (XLY) +1.4%
- Industrials (XLI) +1.4%
- Utilities (XLU) +1.3%
- Real Estate (XLRE) -0.2%
- Healthcare (XLV) -0.5%
Notably absent from the biggest movers was Energy (XLE), which settled near flat.
Cargo Takes Off
Shippers are sick and tired of waiting in line at ports.
According to a Wall Street Journal report, ocean shipping giants are turning “to planes as supply-chain snarls deepen.”
- Two shipping stocks hit our radar yesterday when they made new 52-week highs.
- Each is noted on the watchlist below.
The S&P 500’s chart is showing a bullish pattern … again.
We’ve circled both two bullish engulfing patterns we’ve seen this month.
The thing to remember about patterns is there are limitations.
Indicators can tell you the direction the market wants to head. But as we saw last week with the CPI data, news trumps indicators.
And this morning, we’re still waiting to hear from The Fed.
- The VIX is locked rangebound above 25 and below 28
- RSI levels remain neutral for all four major indexes
- The Put-to-Call Ratio returned to neutral after being oversold for 5 days.
The FOMC meeting begins today.
It will conclude tomorrow afternoon.
Until then, we are in wait-and-see mode.
*BWEN resistance at $3.50
^^TNK on watch
ADN resistance at $4
AAOI resistance at $4
EPM support at $8
MNTK support at $18
DCPH support at $18
CRBU support at $12
RVNC resistance at $29
^SGML support at $25
^GEO support at $8
PGEN support at $2.60
^^NAT support at $3.35
^GERN resistance at 2.80, support at $2.60