S&P Breaks out of Channel
The S&P broke upside from one channel to leave it another. This is the third such acceleration in the last six months, leaving the index prone to a parabolic (if not profitable) run. Buying volume was low, but technical strength is good.
The Nasdaq rallied just under 1% but hasn't yet tagged the new upward acceleration channel. Technical strength is excellent although the index is only slowly regaining its relative advantage from the S&P.
The Russell 2000 is still struggling a little to push itself away from breakout resistance (current support). The new 'bear trap' is still a bullish factor although the index is losing ground against the S&P and Nasdaq.
Traders should all be back from their holidays so we may get a better idea of the market sentiment for 2018 from Monday. Further gains still looking the most likely option. Given market favourability towards Trump it's hard to see a positive response if he was to lose power. For now, deal with known facts and given there is very little negativity to work with one must assume new highs are the path of least resistance.
If you haven't already, check out my article on FMC, DWDP, and VMC here.
I trade a small account on eToro, and invest using Ameritrade. If you would like to join me on eToro, register through the banner link and search for "fallond".
If you are new to spread betting, here is a guide on position size based on eToro's system.
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Accepting KIVA gift certificates to help support the work on this blog. All certificates gifted are converted into loans for those who need the help more.
Follow Me on Twitter
Dr. Declan Fallon is a blogger who trades for fun on eToro and can be copied for free.
. I invest in my pension fund as a buy-and-hold.
The Nasdaq rallied just under 1% but hasn't yet tagged the new upward acceleration channel. Technical strength is excellent although the index is only slowly regaining its relative advantage from the S&P.
The Russell 2000 is still struggling a little to push itself away from breakout resistance (current support). The new 'bear trap' is still a bullish factor although the index is losing ground against the S&P and Nasdaq.
Traders should all be back from their holidays so we may get a better idea of the market sentiment for 2018 from Monday. Further gains still looking the most likely option. Given market favourability towards Trump it's hard to see a positive response if he was to lose power. For now, deal with known facts and given there is very little negativity to work with one must assume new highs are the path of least resistance.
If you haven't already, check out my article on FMC, DWDP, and VMC here.
I trade a small account on eToro, and invest using Ameritrade. If you would like to join me on eToro, register through the banner link and search for "fallond".
If you are new to spread betting, here is a guide on position size based on eToro's system.
---
Accepting KIVA gift certificates to help support the work on this blog. All certificates gifted are converted into loans for those who need the help more.
Follow Me on Twitter
Dr. Declan Fallon is a blogger who trades for fun on eToro and can be copied for free.
. I invest in my pension fund as a buy-and-hold.
