In my Market Forecast last week, I said,
"For the new week, we may see the market take a deeper drop to start out the week. SPX has support between 1360 and 1340, while the support for Nasdaq lies between 2950 and 2900. Wednesday and Thursday are very important to the market’s development. If the market falls below SPX 1340, it would become unhealthy."
The market did start out the week on a week note. But, buyers came in at about SPX 1365. On Tuesday, the market made a dramatic turn "up", pushing SPX all the way back to 1390! However, on Wednesday and Thursday, the market slid lower, struggling to find a direction. Friday was another volatile day that ended basically on changed.
For the week, the Dow was up +179.67 points; SPX was up +8.27 points; Nasdaq slid 10.88 points. Gold was flat and oil was slightly higher. At the time of this writing, Asian markets were mostly down. Here’s how the US market looked after Friday’s close:
On Friday, SPX was up +1.61 points to close at 1378.53. It closed at its 10-day MA. The MACD was flat.
Nasdaq slid 7.11 points to close at 3000.45. It closed below its 10-day MA and the MACD sank lower.
Nasdaq was weaker than the broader market last week, as the semiconductors broke down on Friday. SPX barely closed above its 10-day MA. For the new week…
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