Last weekend, in my Market Forecast, I wrote,
"For the new week, on Monday morning, we'll get the latest ISM and construction spending data. For both SPX and Nasdaq, the daily MAs of are moving into a new bullish phase. To break higher, SPX will have to break above 1120. For Nasdaq, the resistance is at 2300."
Right off the bat, on Monday, the market jumped higher, led by energy and mining sectors, and SPX closed above 1120. On Tuesday, the market was flat. On Wednesday, the ADP report (private employment) and ISM Services data were both better than expected. The market rallied higher and we cashed out on some big gains. On Thursday, the market was cautious ahead of the the unemployment report, closing slightly lower. On Friday, the unemployment report came in worse than expected. The market was weak in the morning, but, rallied back in the afternoon and still managed to close above SPX 1200. We wrapped up a really nice week with 100% of our trades landing in the green!
For the week, the Dow closed up +187.62 points; SPX added +20.04 points; Nasdaq gained +33.77 points. Gold bounced back above $1200/ounce, and oil ended higher as well, staying above $80/barrel. This eveing, at the time of this writing, Asian markets were mixed, with the Nikkei (Japan) down about 100 points. Taiwan Weighted Index (TWII), however, broke above the 8000 mark. Here's how the US looked after Friday's close:
Even though Friday's unemployment report was disappointing, the market rallied back to close above SPX 1120. VIX actually closed down on Friday, below 22! For the new week...
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