Mid-Week Stock Market Outlook: Trading Timeframes Matter

Brandon Van Zee

The S&P 500 (SPY) rose 1.07% today and retains its strongly bullish intermediate posture according to the Market Forecast indicator

All four major U.S. stock market indices currently have strongly bullish intermediate postures and “3 Green Arrows” signals using a daily candle chart.

BUT, they also have bearish crossovers on the 10-40 weekly exponential moving average chart. We discuss these timeframes further in the video below.

The NASDAQ Composite lurched 1.71% higher based off of very strong price action from Communications and Technology-oriented stocks like Netflix (NFLX).

Master Limited Partnerships have been in rally mode for the past month after having been in a downtrend for most of the last quarter of 2018.

Gold (GLD) remains resilient in the face of a rising dollar for the last few sessions; a couple of massive gold mining mergers have been announced recently.

Mid-Week market Video – January 15, 2019

Some additional insights from today’s stock market outlook video:

  • India is the only major foreign equity market to have a bearish intermediate posture; Brazil, Mexico, and South Africa remain robust
  • Utilities and Materials have a bearish posture from a sector perspective in the United States; Utilities have been pressured by a bankruptcy announcement for PG&E (PCG) in California
  • The biggest sector winners today were: Health Care, Communications, and Technology
  • Our trade application example focused on applying a conditional order to purchase shares of Box, Inc (BOX) if it breaks out of its current resistance area. If the buy portion of the trade is executed, then a One-Cancels-Other order would be placed with a price target to the upside and a sell stop to the downside

 

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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