Trend for Position Traders
7/23/21… UPDATE: The S&P 500 rallied by 1.9% last week to close at a record high as it rebounded from a key support level. The index remains locked in a historic uptrend.
Last week’s rebound from 50 DMA support arrived on stronger than normal volume as the index suffered a hefty selloff in the prior week. The index has enjoyed more than 40 record closes so far in 2021.
The index bucked rising concerns over slowing economic growth and was boosted by another week of solid earnings reports, with nearly a quarter of the S&P 500 having already reported. Of those companies, 88% have reported a positive surprise, according to FactSet. (At that rate, the S&P 500 is on track for the highest percentages of positive earnings suprises since 2008.)
The recent decline in U.S. bond yields has aided the rise in stock prices. The 10-year yield closed at around 1.28% on Friday, which is the lowest level since mid-February.
The S&P 500 is now up 17.4% on the year.
The major uptrends in the S&P 500 index remain intact as we head into next week.
We continue to watch key 50 DMA (currently around 4256) and 120 DMA support (currently around 4109) on the S&P 500 index. A breach below the 120 DMA level could signal further selling pressure ahead in the near-term.
With enormous amounts of liquidity (leverage) sloshing around the financial markets, it is not surprising to see many bubbles being blown. Of course, we have been saying as much for several weeks since alerting our members to historic market breadth levels. However, moral hazard is now fully in play and speculators are likely to buy dips as long as monetary and fiscal policies remain aggressively accommodative.
When another change in the trend of the S&P 500 index is detected, we will alert our members!
Our Market Trakker alert system will keep you advised of the current broad U.S. stock market trend. When we detect a change in the major Long-Term trend, our members will be notified by email (and inside The Robinson Report) along with details on how we are responding.
Long-Term Trend for Long-Term Investors
7/23/21… The S&P 500 Long-Term trend remains in a confirmed Long-term uptrend based upon our trading system. When our Market Trakker system detects a change in the underlying Long-Term Trend in the S&P 500, this page will be updated and all current members will be alerted by email.
- Market Trakker Charts – Updated Every Weekend
S&P 500 Index – Daily Chart
S&P 500 Index – Long-Term Trend (Monthly) Chart
(Long-Term Uptrend – Detected 8/14/20)
S&P 500 Index ETF (SPY) – Position Trend (Weekly) Chart
(Position Uptrend – Detected 5/31/20)
Percent of S&P 500 Stocks Above 200 DMA
(Measures market participation)
U.S. New Highs-New Lows
(Gauges internal trend momentum)
NYSE Bullish Percentage Index
(Measures market participation)
S&P 500 Index – P/E Ratio
(Current P/E valuation of S&P 500)
Min: 5.31 (Dec 1917)
Max: 123.73 (May 2009)
- Market Trakker Resources
IMPORTANT DISCLAIMER: THE MARKET TRAKKER IS A PREMIUM INVESTOR TOOL THAT IS FOR INFORMATIONAL AND EDUCATIONAL PURPOSES. YOU SHOULD ALWAYS CONSULT A FINANCIAL PROFESSIONAL BEFORE MAKING ANY FINANCIAL DECISIONS. FOLLOWTHEMONEY.COM, ITS OWNERS AND SUBSIDIARIES SHALL NOT BE HELD LIABLE FOR ANY INVESTMENT DECISIONS EMPLOYED BY OUR MEMBERS. INVEST AND TRADE AT YOUR OWN RISK!