Twenty-three developed markets gained 0.2% on average and 21 are in a Confirmed Uptrend, the 30th week with a majority. Twenty-three emerging markets lost 0.6% on average and 15 markets are in a Confirmed Uptrend, the 12th week with a majority.
Tag: Uptrend
As Markets Move Higher, A Look at Historically Low U.S. Volatility
Twenty-three developed markets gained 1.4% on average and 21 are in a Confirmed Uptrend, the 29th week with a majority. Twenty-three emerging markets gained 0.2% on average and 18 markets are in a Confirmed Uptrend, the 11th week with a majority.
Market View
The market remains in a Confirmed Uptrend, with two distribution days on the S&P 500 and three on the Nasdaq. One distribution day is set to expire on each index at the close Monday. Leadership continues to emerge across several sectors, while few ideas have shown concerning technical weakness. Therefore, we re-main constructive on the market as long as short-term levels of support continue to hold, including the 21-DMA, while distribution remains light.
Stocks on our U.S. Focus List – Current Sentiment
Our USFL of 48 names (including four additions) gained 1.4% on average this week, outperforming the S&P 500 (0.67%) and the NASDAQ (0.44%).
By Sector
Building-related industry groups across several sectors stood out this week. IBP was the clear leader, jumping over 20%. This led to breakouts across the homebuilders including new USFL addition PHM. Defense companies also led, with HEI breaking out of a flat base into new highs after reporting better – than – expected earnings. Lastly, Health Care ideas acted well for a second straight week. IDXX, ALGN, and NUVA continue to trade into new highs, while UNH broke out of a flat base on above average volume. CELG continues to form the right side of a Stage One flat base.
Market View
The market has begun to consolidate gains that we have seen over the last several weeks. We are looking for distribution to stay low, for price to hold above support levels, and for leadership to consolidate constructively above moving average support. Should the market pullback, we will be looking for the 21-DMA on both the S&P 500 and Nasdaq to hold. This level has been tested numerous times since the election and will likely be the market’s first test before the 50-DMA. We remain in a Confirmed Uptrend, still with only one distribution day on the S&P 500 and two on the Nasdaq.
Pause in Most Markets as Defensives Pick-Up
Twenty-three developed markets lost 0.6% on average and 21 are in a Confirmed Uptrend, the 28th week with a majority. Twenty-three emerging markets lost 0.2% on average and 19 markets are in a Confirmed Uptrend, the tenth week with a majority.
Further Gains Globally, U.S. Rally Reaching Historic Proportions
Twenty-three developed markets gained 0.7% on average and 21 are in a Confirmed Uptrend,
the 28th week with a majority. Twenty-three emerging markets gained 0.3% on average and 20
markets are in a Confirmed Uptrend, the 10th week with a majority.
Market View
The market remains in a Confirmed Uptrend, likely set to consolidate gains we have seen over the past month.
We are looking for short-term levels of support to hold, including the 21-DMA, while distribution remains muted.
Leadership has continued to act well with very few technical breakdowns. This too, will be key going forward.
We lose one distribution day on both the S&P 500 and Nasdaq after the close on Tuesday.
Global Gains Resume, Taiwan Technology Leads Market Higher
Twenty-three developed markets gained 0.5% on average and 21 are in a Confirmed Uptrend, the 27th week with a majority. Twenty-three emerging markets gained 0.7% on average and 19 markets are in a Confirmed Uptrend, the ninth week with a majority.
Market View
The market remains in a Confirmed Uptrend with a limited number of distribution days. Leadership continues to emerge largely due to positive reactions to earnings. Though the upper channel line was reached on the S&P 500 Friday, market conditions remain favorable for further gains. We are watching for sudden downside rever-sals in the major averages, coupled with failed breakouts in individual ideas. This would be an early indication to turn cautious. Until then, our positive stance on the general market continues.
Markets Pause but Remain Constructive
Twenty-three developed markets lost 0.7% on average and 21 are in a Confirmed Uptrend, the 26th week with a majority. Twenty-three emerging markets lost 0.2% on average and 19 markets are in a Confirmed Uptrend, the eighth week with a majority.
