Weekend Review and Watchlist

Overview

US equities moved to new highs, with the S&P maintaining its ground above the 2500 level achieved last week. The Transports and Russell, which had lagged the previous move, were more dominant this week. Sentiment is elevated, but breadth remains strong with Industrials, Materials, Financials, and Energy leading, while the traditionally defensive high-yielding sectors of Utilities, Real Estate, and Staples came under pressure.

The S&P is yet to have a pullback of 5% on a closing basis since the new bull market began in 2016. As we enter the last week of September, the stair-stepping trend of higher highs and higher lows on the monthly chart continues.

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The S&P, Dow Industrials, NYSE Composite, Russell, Midcap, and Microcap all finished at all time highs on a weekly close basis. Only the NASDAQ was modestly lower this week, and the Transports is just shy of new highs.

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Breadth also continues to improve, with the NYSE Cumulative Advance/Decline at all time highs.

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Sector Analysis

Of the ten S&P Sector SPDRs, Industrials and Materials lead the way, and were joined at the top this week by a resurgent Financials sector.

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They're followed by Technology and Healthcare, which eased back from their recent highs to test their 20 EMA.

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Then comes Consumer Discretionary, which remains held under its MAs, and Energy, which despite still being under its 200-day, has now improved considerably and is making multi-month highs.

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Below that I have Utilities and Real Estate, which moved lower for a second straight week, slicing through their 50-day MA.

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Last of all is Staples, which had an ugly week, plunging through its 20, 50, and 200-day MA in the space of four days, to end the week at 7-month lows.

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All told, this appears to be a very healthy market environment. The major ...

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Weekend Review and Watchlist

Overview

US equities are at all time highs. Breadth is too. Bullish sentiment has returned to elevated levels.

The S&P, Dow, and NYSE Composite finished at all time highs on a daily and weekly close basis.

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The NASDAQ, Midcap, and ...

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Weekend Review and Watchlist

Due to my schedule this is a briefer report than usual this weekend.

Overview

The long term uptrend for US equities remains intact. Most of the major indices consolidated the previous weeks gains and are sitting just above their respective ...

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Comments

Weekend Review and Watchlist

Overview

Equity markets moved back to their highs this week, led by strength in technology, healthcare, and materials. Breadth has improved significantly, while sentiment has become more bearish as we enter what has historically been one of the weakest months ...

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Comments

Weekend Review and Watchlist

Overview

Equities managed a small bounce this week, but despite the major indices being relatively close to previous highs, the majority of sectors are in short-term downtrends and below their 50-day MA. Sentiment has turned more bearish, and breadth showed ...

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Weekend Review and Watchlist

Overview

Equities remain vulnerable to further weakness, as despite the major indices being relatively close to their highs, breadth continues to deteriorate, with transports and small-caps hitting multi-month lows.

Let's start with some context and the S&P over the ...

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Weekend Review and Watchlist

Overview

Equity indices retreated modestly this week and remain close to their highs, but a fair amount of technical damage has occurred with significant levels breached on some of the major indices, and rapidly deteriorating breadth.

The S&P moved to ...

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Weekend Review and Watchlist

Overview

The S&P was more or less unchanged for a second week as it continues to trade in a tight range just below its highs. Interestingly, its equalweight equivalent $RSP weakened further this week, briefly testing the mid-June highs and ...

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Comments

Weekend Review and Watchlist

Overview

The bull market is now over a year old. July is coming to an end, and the S&P is on course to put another higher high and higher low in place on the monthly chart. It's now also ...

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Weekend Review and Watchlist

Overview

Equities moved to new all time highs this week, with the NASDAQ completing a 10-day winning streak, its first since Feb 2015.

Breadth has moved higher with it, on both 'all issues' and 'operating companies only' measures. Equalweight versions ...

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Weekend Review and Watchlist

Overview

US equities are at all time highs. Breadth is too. Far from showing complacency, bullish sentiment is at the bottom of its normal range. The current bull market is now one year old and looks to be in good ...

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Comments

Weekend Review and Watchlist

Overview

A holiday-shortened week, so this will be brief, but essentially very little changed. The major indices are at or just below their highs, with sector rotation clearly evident. Breadth remains strong, while bearish sentiment increased as the weakness in ...

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