Last weekend, in my Market Forecast, I wrote:
"For the new week, things might be on the weak side to start the week. Global economic concerns, in addition to the sequester budget cuts at home, may put the stocks on the defensive. SPX 1500 is the nearest support. We’ll have to see how things hold up and if the dip-buyers continue to buy the dips."
The market did start out on the weak side on Monday. But, in the afternoon, dip-buyers rushed in. By the close, SPX pushed just above 1525. On Tuesday, the market broke out higher. The Dow was really strong and closed the day with a new all-time high! We locked in some of our profits. That evening, in my article, I thought that the market should continue higher. Indeed, the market melted up a little bit each day throughout the week. SPX ended the week above 1550. The Dow had a record-breaking week, and, we came up with some nice winning trades!
For the week, the Dow was up +307.41 points; SPX added +32.98 points; Nasdaq gained +74.63 points. Both gold and oil were little changed. Gold traded around $1580/ounce, while oil was kept under $92/barrel. At the time of this writing, Asian markets were mostly up; but, China slid. Here’s where the US markets stood after Friday’s close:
On Friday, SPX added +6.92 points to close at 1551.18. The daily MAs and MACD went up.
Nasdaq gained +12.28 points to close at 3244.37. Its daily MAs and MACD also went higher.
Both Nasdaq and SPX broke above their respective resistance levels (Nasdaq 3200; SPX 1520). For the new week…
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