Weekend Stock Market Outlook
Stock Market Outlook For The Week of
November 17th = Uptrend
ADX Directional Indicators: Uptrend
Price & Volume Action: Uptrend
Objective Elliott Wave Analysis: Uptrend
The stock market outlook remains in an uptrend, with price at an all time high and continued bullish price action in the ADX, price/volume and OEW signals.
2019-11-17 - SPX Trendline Analysis - Daily
In the daily view, the The S&P500 ($SPX) looks a bit extended from support. Based on the chart, lower trading volumes last week lead me to believe we'll see sideways trading for a week or two, so I'm expecting prices to stay around the 3100 level this week, with ~3075 acting as the gatekeeper for a bigger decline.
2019-11-17 - SPX Trendline Analysis - Weekly
U.S. markets did their best Tailor Swift impression last week, shaking off steady-as-she-goes Fed testimony and weaker than expected data from manufacturing and shipping.
The market needs leading stocks with strong fundamentals and well formed technical price patterns to reach all time highs, and it has them. But I think the biggest factor comes from the impeachment hearings. Those hearings give U.S. headlines something other than the economy or China to focus on. Coincidentally, volatility is near to lows for the year.
Well placed rumors of progress between the U.S. and China don't hurt though! Larry Kudlow stated that the two sides are getting close to a preliminary trade deal. Of course, that's been the case for a while, and is only Phase 1 of who knows how many deals.
Just like asymmetric warfare, one trade war tweet will override fundamental and technical research in the short-term, so risk manage accordingly!
Best to your week!
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Charts provided courtesy of stockcharts.com.
If you're interested in learning more about the relationship between price and volume, or how to find and trade the best stocks for your growth strategy, check out this book on Amazon via the following affiliate link: How to Make Money in Stocks: A Winning System in Good Times and Bad. It's one of my favorites.
For the detailed Elliott Wave Analysis, go to the ELLIOTT WAVE lives on by Tony Caldaro.
Once a year, I review the market outlook signals as if they were a mechanical trading system, while pointing out issues and making adjustments. The goal is to give you to give you an example of how to analyze and continuously improve your own systems.
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