Stock Market Outlook entering the Week of July 3rd = Uptrend
MOVING AVERAGES:
- Short-term (20 DMA): Uptrend
All the major stock market averages rose above their 20-day moving averages.
- Intermediate (50 DMA): Uptrend
All of the major stock market averages rose above their 50-day moving averages.
- Long-term (200 DMA): Uptrend
All major stock market averages rose or remained above their 200-day moving averages.
COMMENTARY
Last week started off in a bad way, as we broke through the 200 day moving averages. But traders quickly climbed the Brexit “wall of worry” and sent the indexes back to their previous price levels almost as quickly as they had fallen.
In summary, all the major indexes are back above their moving averages. Price/volume shows we’re back in an uptrend. And OEW switched as well, noting that an uptrend is likely underway due to the size of the bounce off Monday’s lows (a “weekly rate of change” signal). These positive developments shifted the outlook from “mixed” to “uptrend”.
US markets are closed Monday for the 4th of July holiday.
2016-07-03 – US Stock Market Averages
For the detailed Elliott Wave Analysis, go to the ELLIOTT WAVE lives on by Tony Caldaro. Price/volume charts are provided courtesy of stockcharts.com.
Moving Average Signals:
- Uptrend=Market indexes remained above their moving average during the trading week
- Downtrend=Market indexes remained below their moving average during the trading week
- Buy signal=Market indexes rose above their moving averages during the trading week
- Sell signal=Market indexes fell below their moving averages during the trading week
