Market Forecast + Sector Watch: SPX, Nasdaq, XLF, XLE, GLD, GDX, DO, SLB, RIG, NOV, MA, V, CME, ICE, GOLD, AEM, NEM
Happy Memorial Day! Last weekend, in my Market Forecats, I said, "For the new week, this market could see a "relief rally" early in the week.  But, a relief rally often doesn’t last.  Therefore, depending on how high the market bounces, we may see another down draft later in the week, unless there are positive [...]

Happy Memorial Day!

Last weekend, in my Market Forecats, I said,

"For the new week, this market could see a "relief rally" early in the week.  But, a relief rally often doesn’t last.  Therefore, depending on how high the market bounces, we may see another down draft later in the week, unless there are positive surprises out of Europe.  First resistance levels are SPX 1320 and Nasdaq 2850."

Again, things happened as forecasted.  Right away, on Monday, the market staged a bounce.  The rally was powerful and drove SPX close to 1330 by Tuesday’s morning, as we locked in gains on some of our longside plays.  But, the downside pressure soon kicked in, and by Wednesday morning, the market was testing SPX 1300 again!  Thursday and Friday were spent in volatile trading with no real direction, and the market closed just below the resistance levels.

For the week, the Dow was up +85.45 points; SPX climbed +22.6 points; Nasdaq added +58.74 points.  Both gold and oil were slightly down.  At the time of this writing, Asian markets were mostly up.  Here’s where the US market closed last Friday:

SPX

On Friday, SPX slid 2.86 points to close at 1317.82.  It closed right at its 10-day MA.  The MACD was flat.

Nasdaq

Nasdaq slipped 1.85 points to close at 2837.3.  It closed below its 10-day MA.  The MACD was slightly up.

Both SPX and Nasdaq came up to test their respective resistance levels:  SPX 1320 and Nasdaq 2850.  Both closed just below.  For the new week…

To read the rest of this article, please subscribe to HappyTrading "Premium Articles" by going to the page. If you are already a subscriber, please click here: Market Forecast 5/28/12.

Stock Market XML and JSON Data API provided by FinancialContent Services, Inc.
Nasdaq quotes delayed at least 15 minutes, all others at least 20 minutes.
Markets are closed on certain holidays. Stock Market Holiday List
By accessing this page, you agree to the following
Privacy Policy and Terms and Conditions.
Press Release Service provided by PRConnect.
Stock quotes supplied by Six Financial
Postage Rates Bots go here