This week’s financial spread betting update is now available and can be read by clicking here.
The strength seen in equities over the past week since the bounce from 1 year lows has continued this morning and the S&P 500 looks set to test a critical resistance level at 1230. How the market fares once it reaches that level will give a good indication as to what can be expected over the next few weeks. Overall the conditions still remain bearish for stocks and most commodities and in spite of recent strength that will not change in most markets unless considerable strength is seen.
The only stock index that looks like it may have a change of long-term trend to up on the horizon is the Nasdaq 100. The highs for the year are now in range and could be tested this week. A breach of the highs for the year would return the Nasdaq 100 to bullish.
The dollar has taken a bit of a beating over the past couple of weeks but remains in a long-term uptrend almost across the board. In early trading this morning the dollar is higher.
As we note in this week’s update, several markets across different sectors are approaching key resistance levels so this will be a good test to see how strong the recent rally actually is. Due to the extent of the recent moves and the short timeframe that they have occurred in a pullback would not be surprising.
This week’s financial spread betting update begins with:
The reversal from 1 year lows formed during the previous week continued this week and the markets are now approaching key resistance levels, as in fact are many markets including commodities and currencies. The past couple of weeks’ moves have been counter to the long term trend and the long term trends all remain intact, so still down for stocks and commodities but up for the dollar. ..…continue reading by clicking here