Connect with us

Hi, what are you looking for?

Stock

Equities Set New Highs As Growth Sectors Drive Markets

Good morning and welcome to this week’s Flight Path. The week ended with all of the major asset classes painting “Go” bars. However, we saw a little uncertainty in places during trading. After a few bars of weaker aqua “Go” bars, we saw equities finish with strong blue bars at new all time highs. Treasury bond prices saw a dip into uncertainty but ended strongly. The U.S. commodities index rebounded after a “Go Fish” bar with a few strong blue bars and the dollar hung onto weaker aqua “Go” bars.

$SPY Looks Strong at the End of the Week

After a few weeks that now look like consolidation, we saw price hit new highs this week on strong blue “Go” bars. This comes after a few weaker aqua bars moved price sideways and GoNoGo Oscillator fell close to the zero level. It rallied quickly though and we are seeing strong momentum as price climbs.

Another higher weekly close tells us that the “Go” trend remains strong on the larger timeframe. We now have seen 9 consecutive strong blue “Go” bars since the period of weakness in April. GoNoGo Oscillator stays overbought for another week which tells us how enthusiastic the market is as price soars.

Treasury Rates Return to Strong “NoGo” bars

Treasury rates jumped higher earlier in the week and it was enough to make GoNoGo Trend paint an amber “Go Fish” bar. However, the “NoGo” returned as the week finished with first pink and then a strong purple bar. GoNoGo Oscillator which had broken into positive territory has quickly returned to test the zero line from above. It will be important to see if this level now offers support.

Dollar Falls from Highs on Weak Aqua “Go” Bars

The daily chart below shows that price fell sharply from the most recent high. This week saw a predominance of weaker aqua bars as the “Go” trend shows weakness. GoNoGo Oscillator has fallen to test the zero line from above and volume is heavy. We will pay close attention to the oscillator panel this week to see if the zero level offers support. If it does, we will be able to infer that the “Go” trend is still healthy.

You May Also Like

Editor's Pick

In Risky Business: Why Insurance Markets Fail and What to Do About It (Yale University Press, 2023), economists Liran Einav (Stanford), Amy Finkelstein (MIT),...

Editor's Pick

If you haven’t been following the “Twitter Files” saga, the gist of it is that the US federal government routinely pressured pre-Musk Twitter, and...

Editor's Pick

On April 23, 1985, the Coca-Cola Company made one of the biggest mistakes in American business history: it changed the formula for Coca-Cola. Outraged...

Editor's Pick

For years the North Korean playbook was obvious to the world. The Democratic People’s Republic of Korea wanted to be the center of attention....



Disclaimer: Questofprogress.com, its managers, its employees, and assigns (collectively “The Company”) do not make any guarantee or warranty about what is advertised above. Information provided by this website is for research purposes only and should not be considered as personalized financial advice. The Company is not affiliated with, nor does it receive compensation from, any specific security. The Company is not registered or licensed by any governing body in any jurisdiction to give investing advice or provide investment recommendation. Any investments recommended here should be taken into consideration only after consulting with your investment advisor and after reviewing the prospectus or financial statements of the company.


Copyright © 2023 Questofprogress.com