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| Today's Commentary (Short Term Outlook) |
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Leaders
lagging? Stocks were down modestly yesterday as the Dow lost 14-points, but they did close well off of their lows. Monday and Tuesday's combined returns for the TSP funds were: C-fund +0.16% S-fund -0.21% I-fund +0.21% F-fund +0.37% The S&P 500 is back up near resistance, but that resistance is still rising. Eventually this rising wedge will break but that doesn't mean things will necessarily fall apart. I just expect the angle of this rally to adjust as some point.  Chart provided courtesy of www.decisionpoint.com, analysis by TSP Talk After yesterday's close, Intel posted a solid earnings report sending its share price, and the index futures, soaring higher. As I write this late Tuesday, the S&P futures are up 9.00, or 0.84%. It appears that we may be seeing yet another gap up opening this morning. If these gains hold, that would make 4 open gaps that would seem to need filled. The gain in Intel will no doubt have a big impact on one of the market leaders this morning, the Nasdaq Composite. So how are the market leaders doing? The charts look good but they are actually lagging the S&P 500 at the moment. The S&P made a new 52-week closing high on Monday but take a look at the charts Dow Transportation Index and Nasdaq Composite...   Chart provided courtesy of www.decisionpoint.com, analysis by TSP Talk I was going to say that we should be very concerned if these roll over before testing the old highs, but Intel may take care of that today. I would be surprised if the Nasdaq does not at least open near the September high, but Intel can be tricky. Many times the market reverses after a big market moving event from Intel. Let's see if the indices can hold onto the gain that I am assuming we are going to witness at today's open. That's all for today. Thanks for reading. We'll see you back here tomorrow. |