The U.S. market remains in a Rally Attempt. The S&P 500 closed just above its May 13 low of 2,801, keeping an attempted rally intact for the time being. If this low is undercut, the market will shift back to a Downtrend. Support remains the 200-DMA (S&P 500: 2,776; Nasdaq: 7,529).
Author: Anuj Kumar Chouhan
Won Europe Today
Yesterday, most European markets closed in the green on the back of positive performance in the Auto sector, after news on a possible merger between Fiat Chrysler(FCA.IT; FCA:IM) and Renault(RENU.FR; RNO:FP). Liquidity was less in the market as the U.K. and U.S. markets were closed. France’s CAC and Germany’s DAX were up 0.37% and 0.50%, respectively, on lower volume.
WON Global View
The U.S. market remains in a Rally Attempt. The Nasdaq undercut its May 13 low of 7,627 last Thursday, However, the S&P 500 narrowly held its low of 2,801, keeping the Rally Attempt intact. A follow-through day is still possible as long as this low continues to hold. Our primary expectation, however, is that the S&P 500 will undercut and both major averages will test support along their respective 200-DMA (S&P 500: 2,777; Nasdaq: 7,530).
Won Europe Today
European markets reversed losses from the earlier sessions in the week with most bourses and sectors recording gains
after President Trump signaled lifting restrictions on Huawei could be a part of the trade deal.
The Stoxx 600 closed 0.56% higher as Utilities, Insurance, and Basic Resources gained more than a percentage.
France’s CAC 40 and the U.K.’s FTSE 100 gained 0.67% and 0.65%, respectively, followed by Germany’s DAX gaining 0.49%.
The only countries to close in negative territory were Ireland and Luxembourg.
WON Europe Today
On Friday, we released the European weekly summary (please click here to access the report). We remain cautious regarding
the European markets in the midst of the revival of trade war fears. Defensive sectors including Health Care and Staples prove
to be dominant and we recommend Carl Zeiss Meditec ( AFXX.DE), Davide Campari ( CPR.IT), Givaudan ( GIVN.CH), and Kerry
Group ( KRZ.IE).
- Markets bounced back from two days of bearish trading.
- The Stoxx 600 closed 0.51% higher, with Technology, Oil & Gas, and Utilities leading the gain.
- Among major bourses, Germany’s DAX was up 0.72% and France’s CAC 40 gained 0.27%, while the U.K.’s FTSE 100 lost
0.06%. - The only countries to end in negative territory were the U.K., Denmark, and Ireland.
WON Global View
The U.S. market is in an Uptrend Under Pressure. The S&P 500 and Nasdaq pierced their respective 50-DMA on Thursday and Friday last week before staging back to back upside reversals. We are encouraged that each move lower has been met with support, however, we would still like to see a strong up day that occurs above the 50-DMA before turning more positive on the general market. Distribution stands at four days on the S&P 500 and five on the Nasdaq, with one day expiring on the Nasdaq tomorrow at the close.
WON Global View
The U.S. market is in a Confirmed Uptrend. The S&P 500 and Nasdaq each jumped more than 1% after consolidating earlier this week. The distribution count stands at four days on each index after one day expired on the S&P 500 at yesterday’s close. The next level of resistance is ~2,864 on the S&P 500 and ~7,873 on the Nasdaq.
WON Global View
The U.S. market is in a Confirmed Uptrend. Indices traded in a seesaw fashion yesterday, but price action remains constructive and the indices continue to consolidate above prior resistance levels at 2,815 (November 2018 high) on the S&P 500 and 7,670 (October 2018 high) on the Nasdaq. One distribution day will expire on the S&P 500 after the close today.
WON Global View
The U.S. market is in a Confirmed Uptrend. Indices sold off during the last hour, giving back the session’s gains and closing at the lows of the day. Despite the churning action, the S&P 500 and Nasdaq avoided a distribution day; their counts remain at five and four, respectively. Small caps faced heavier selling pressure as the Russell 2000 declined 0.57% and remains below its 200-DMA.
WON Global View
The U.S. market is in a Confirmed Uptrend.The S&P 500 and Nasdaq remain constructive, adding small gains yesterday after last week’s big rebound. Distribution stands at five and four days on the S&P 500 and Nasdaq, respectively, with one day expiring on the S&P 500 at this Thursday’s close.
