Last week a few Fed officials made very hawkish statements that put out any hopes of rate hike pause or pivot in the December Fed meeting. The market responded negatively to the hawkish statements, but with low volume. The downside momentum was not noticeable, and the weekly bullish posture is still intact. It appears that the market participants have become numb to the hawkish Fed and
The red wave didn’t come. The control of Congress was not decide when the market closed last Friday. We just learned that Dem0crates will keep control of the Senate and most likely Republicans will win the House with a slim lead. This configuration will give the White House considerable more power than previously anticipated. Although it would be difficult for the White House
The Fed spoke last Wednesday and promptly put down the bulls’ high hopes of pause or pivot. However, there wasn’t any follow thru of the selloff in the next two days. All three indices closed a losing week, but the weekly cycle progress has not been negated, meaning the selloff post the Fed meeting hasn’t fundamentally changed the weekly cycle progress. The DOW is the strongest among the three,
Despite the major earnings miss from Google, Microsoft, Amazon and Facebook last week, the DOW picked up the slack from the NASDAQ and is on track to be the best month since 1976! The pundits were worried about the mega tech earnings miss to lead the market to continue the crash, but the worry was blown away by the revenge from the old economy. The market
The Fed hasn’t spoken about pause or pivot in any kind, yet the market rallied last Friday with heavy volume to put in a text book follow thru day that confirmed the October 13 low could be the seasonal low. As long as the October 13 low is held, the weekly cycle will proceed accordingly. Next week is a major earnings week that could further propel the Q4 rally.
