Seasonality wasn’t enough to get the Dow Jones Industrials to 20K by year-end. But in reality, the pullback for stocks was overdue.
For the week, the S&P 500 Index (INDEXSP:.INX) fell 1.2 percent, while the Nasdaq Composite (INDEXNASDAQ:.IXIC) fell 1.5 percent.
A more revealing stat, though, is that the S&P 500 was up 9.5 percent for the year. Considering how 2016 started, that’s pretty impressive.
Heading into 2017, traders will reflect on the ups and downs… and missed opportunities. They will also need to monitor the market to see if/when a larger pullback develops. Investor sentiment is bullish right now (contrarian indicator). However, sentiment indicators have been quick to turn bearish at the first sign of a pullback or negative news… when that changes, a deeper pullback will commence.
Okay, let’s get to the good stuff. Here’s a sampling of this week’s best trading ideas & investing research. Thanks for reading and best to you all in 2017!
MARKET INSIGHTS
Global Equities are encountering resistance – Dana Lyons
Is the run in Facebook stock over? – All Star Charts
Is a change in capitalism underway? – Institute for New Economic Thinking
2016 from a 10,000 foot view – Ivanhoff Capital
There is a large increase in SPY shares outstanding – McClellan Financial Publications
Overheated banks are set to underperform – Kimble Charting Solutions
NEWS & RESEARCH
10 things the most successful people do – Barking Up The Wrong Tree
How China built iPhone city – New York Times
“China’s Yuan support is getting out of hand” – Bloomberg
Not Forecasting 2017 – Alex Gurevich
6 Things I learned in 2016 – FMD Capital Management
Every unicorn in the U.S. on one map – CB Insights
Check back every weekend for more links to some of the best trading blogs and investing research. Thanks for reading! Happy New Year!
Twitter: @ATMcharts
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.
