Current Market Conditions - Something To Like And Something To Hate

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Includes: DDM, DIA, DOG, DXD, EEH, EEM, EPS, EQL, EWJ, FEX, FWDD, HUSV, IEUR, IJR, IVV, IWL, IWM, JHML, JKD, MCHI, MDY, OTPIX, PSQ, QID, QLD, QQEW, QQQ, QQQE, QQXT, RSP, RWM, RYARX, RYRSX, SCAP, SCHX, SDOW, SDS, SFLA, SH, SMLL, SPDN, SPLX, SPUU, SPXE, SPXL, SPXN, SPXS, SPXT, SPXU, SPXV, SPY, SQQQ, SRTY, SSO, SYE, TNA, TQQQ, TWM, TZA, UDOW, UDPIX, UPRO, URTY, UWM, VFINX, VOO, VTWO, VV, XLB, XLC, XLE, XLF, XLI, XLK, XLP, XLRE, XLU, XLV, XLY
by: Richard Shaw
Summary

The S&P 500 has recovered a bit more than half of its decline from the September peak.

It has also broken through the resistance level created by the prior double bottom at around 2650.

The 200-day average is no longer declining, and the price is now above the 50-day average.

Unfortunately, those averages don’t tell us what to expect in a period of slowing earnings growth rates, as we are in now, versus periods of rising earnings growth rates.