SPX reclaims 50 day line again.
Happy 4th of July ! I know most people are on vacation or have been on vacation since Wednesday for this week. The market was closed on July 4th but on this Friday it did open full day and we had a very important monthly unemployment report that came out very strong. The unemployment report came in at 195,000 jobs added and the previous months job reports were also revised to higher numbers. It didn’t take long to set things up for the bullish side. With this strong report and revision of previous reports the economy seems to be improving much better than expected. We may see lots of bullish actions in the next coming week in the stocks.
The market may be concerned if Feds will take away the punchbowl of 85 billion a month money supply. We just have to see when and if that happens any time soon. The fears have already surfaced all over.
Friday should have been a sleepy day amid this 4 day holiday but it wasn’t. Both SPX and NDX reclaimed their 50 day moving averages after a week long 4-5 session struggle with bears. Moving above the averages should be quite bullish for many stocks. This action happened right towards the close in the last 30 minutes of trading. RUT has been the strongest index among all of them and closed decisively above the 1000 mark. This index can see much higher prices as it breaks the 1002 trendline on the charts.
Most of the major stocks also saw some bullish action today. GOOG was up 893 and will clip 900 soon. TSLA saw another bullish day to close at 120. The stock has run up from 80 without a hint of correction yet. AMZN is also poking above the trendline and should vault to 290