Last weekend, in my Market Forecast, I said,
"For the new week, the market will start out with a slightly weaker stance. However, if the market can hold its support levels (SPX 1025; Nasdaq 2050), the market can bounce right back up. The market will need to stay strong right from the beginning. Earnings season is kicking off next week. Among the notable ones is AA, which reports next Wednesday after the market close. Metals and mining is a very important sector for the broader market, and, AA's earnings can certainly affect this whole group. Financials is the other group to watch, and GS still looks strong."
Indeed, the market was strong right from the beginning and held its support levels. It spent the whole week "bouncing right back up"! Both the miners and financials helped to lead the market higher. AA reported a "surprise profit" and GS gained nearly $10 for the week! On Monday, the commodity sectors and the financials got things going early. On Tuesday, gold charged up to a new record high and we booked big wins with AEM. On Wednesday, financials kept on going and big tech names joined in, including GOOG, which jumped almost $20 for theday! On Thursday, energy stocks and miners continued their rally with gold piercing above $1050/ounce. On Friday, the market sectors were mixed as predicted, but, the major market indices still closed in the green, finishing off a very nice week (click here to see published trades)!
For the week, the Dow closed up +377.27 points; SPX added +46.28 points; Nasdaq gained +91.17 points. Gold made record highs and closed around $1050/ounce. Oil went up as well, closing above $70/barrel. The dollar dropped, but, managed a bounce on Friday. At the time of this writing, Asian markets were mixed, but, mostly hovering around the flatline. The Chinese market reopened after being closed for a week, and was trading higher. Let's see where the US market stands after Friday's close:
Both SPX and Nasdaq have climbed back to where they fell on a quick dive after the disappointing job reports last week. The daily MAs and MACD have turned up again. VIX has fallen below 25 and is testing 23. For the new week...
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