Last weekend, in my Market Forecast, I wrote:
"For the new week, if the market pushes above SPX 1520 again, I think it’ll break out. The Dow managed to close above 14,000 last week. To me, that’s bullish. We’ll also have to see strength in techs. On the downside, if SPX comes down to test 1500 again, it might just fall further to test 1480. Earnings are still coming in… Once again, I’ll be watching the financial and energy sectors. Mining stocks have been really weak. Housing maybe worth to keep an eye on as they took a quick fall last week."
Well, the market remained undecided last week. It opened higher on Monday, but, took a sharp fall after the first 30 minutes of trading. It ended the day below 1500. The weakness lingered on Tuesday morning. But, buyers came in in the afternoon. The buying continued through Wednesday and pushed SPX above 1525 on Thursday afternoon. However, the buying stopped abruptly with 2 hours left in trading on Thursday. Things gapped lower on Friday morning and came down to test SPX 1500. Dip-buyers came in once again to push SPX back up to test 1520.
It was a crazy week with big swings. In the end, stocks eked out a gain for the week. SPX closed just below 1520 and the Dow recorded its highest close since October 2007. February 2013 was another win for the broader market.
For the week, the Dow was up +89.09 points; SPX added +2.6 points; Nasdaq gained +7.92 points. Gold sank below $1580/ounce and oil fell to just above $90/barrel. At the time of this writing, Asian markets were mostly down; but, Japan remained higher. Here’s where the US market closed on Friday:
On Friday, SPX added +3.52 points to close at 1518.2. It closed above its daily MAs. The MACD floated up.
Nasdaq gained +9.55 points to close at 3169.74. It also closed above its daily MAs. The MACD was flat.
Both SPX and Nasdaq managed to close above their respective MAs. For the new week…
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