Mid-Week Stock Market Outlook: New Highs! …But Tech Lags

Our mid-week market outlook video has got you covered with lots of market insights and interesting trade setups. Notably, the S&P 500 and Russell 2000 hit all-time highs today!

Below is a summary of of the video. Please feel free to comment or hit us up with any questions.

–  Sellers appeared on an intraday basis on the S&P 500 but buyers were fully in control of the Russell 2000 through the close of today’s session.

–  This bull market is on the eve of becoming the longest bull market in history.

–  Of the four major U.S. equity indices, the NASDAQ Composite appears to be the laggard

–  The Sector Selector tool suggests strength in the Consumer Discretionary sector and relative weakness in the Technology sector.

–  The U.S. Dollar has been down over the last week but is now at a critical juncture as it sits on a rising 30 day moving average, which it has bounced off of several times in the past.

–  Somewhat suspiciously, the VIX closed higher on the session despite the stock market having a bullish session.

–  Despite a strong economy and stock market, U.S. Treasury Yields have been falling in August, which has supported buying activity within interest rate sensitive areas like REITs and Utilities.

–  The trade application example highlighted in today’s video featured selling a bull put spread on Kohl’s (KSS), which just reported earnings today and closed near the highs of the session.

 

Get market insights, stock trading ideas, and educational instruction over at the Market Scholars website.

Twitter:  @BrandonVanZee and @Market_Scholars 

Any opinions expressed herein are solely those of the author, and do not in any way represent the views or opinions of any other person or entity.

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