Weekly Average Momentum Index (AMI) rankings of HSA, SSPP, RSP, SELECT, ETF, iETF, sETF have been posted in "Rankings", "Trading Logs" pages, as well as in http://ycprankings.awardspace.us/RankingTables.htm.
Stocks rose substantially higher after FED raised the interest rate 0.75% on Wednesday as expected. Second quarter GDP came in negative 0.9% more than the expected 0.5% contraction as economic slow down took holds. With the contraction in two consecutive quarterly GDPs, investors think that the FED will slow down the pace for rate hikes or stop the rate hikes sooner, which extend the stock rally. For the week, S&P 500 index went up 4.26% to 4130, Dow Jones Industrial Average gained 2.97%, and the technology laden NASDAQ composite index increased 4.7%.
As discussed last week, S&P 500 broke above 3900 after the Fed raises the interest rate and closed 10 point below its 28 week EMA. As the momentum indicator keeps rising, the index will most likely break above its trend line in the coming weeks. The best scenario going forward is for the index to retest its trend line support after breaking it and continue to advance higher toward the end of the year.
 |
| Weekly chart of S&P 500 index |
No comments:
Post a Comment