Connect with us

Business

More upside down, but don’t chase the rally

More upside down, but don’t chase the rally

 


  • The bullish movement of the S&P 500 over the past few weeks was confirmed by a small breakout on Monday, according to Fairlead Strategies.
  • The breakout suggests the S&P 500 could jump another 4% from current levels at 4,270.
  • But investors are unlikely to continue the rally just yet as the volatility index shows signs of rebounding.

According Fairlead’ Strategies Katie Stockton.

The breakout suggests that the S&P 500 has at least 4% upside, with the index’s next resistance level around 4,270. The S&P 500 was hovering around 4,100 on Tuesday.

“Near-term momentum remains to the upside, but we expect it to weaken and will not continue the rally,” Stockton said in a note to clients on Tuesday.

Stockton’s view that investors will get a more attractive entry point into stocks down the road is based on the action of Wall Street’s fear gauge, the Volatility Index. According to Stockton, the VIX is showing signs of rebounding after bouncing off long-term trendline support. This means that the current cycle of high stock market volatility is still intact and likely to persist.

“Our near-term indicators have risen, supporting a near-term increase in volatility that suggests it may be prudent to stay with existing market hedges despite the small breakout in the S&P 500,” Stockton said.

Instead of continuing the rally at current levels, Stockton said investors should look for any market pullback that creates a higher low “given another week [moving average convergence divergence] buy signal.”

Since the start of the year, the S&P 500 has consistently made lower lows and lower highs as it trended lower. A higher low would be a signal that the downtrend in stocks may be in the early stages of its reversal, and this level would likely provide a more opportune time to buy stocks.

The S&P 500 hasn’t managed to hit a higher high just yet, but it’s on its way if it closes decisively above 4,200, which is above the highs seen in June.

Sources

1/ https://Google.com/

2/ https://markets.businessinsider.com/news/stocks/stock-market-outlook-technical-breakout-fairlead-strategies-dont-chase-rally-2022-8

The mention sources can contact us to remove/changing this article

What Are The Main Benefits Of Comparing Car Insurance Quotes Online

LOS ANGELES, CA / ACCESSWIRE / June 24, 2020, / Compare-autoinsurance.Org has launched a new blog post that presents the main benefits of comparing multiple car insurance quotes. For more info and free online quotes, please visit https://compare-autoinsurance.Org/the-advantages-of-comparing-prices-with-car-insurance-quotes-online/ The modern society has numerous technological advantages. One important advantage is the speed at which information is sent and received. With the help of the internet, the shopping habits of many persons have drastically changed. The car insurance industry hasn't remained untouched by these changes. On the internet, drivers can compare insurance prices and find out which sellers have the best offers. View photos The advantages of comparing online car insurance quotes are the following: Online quotes can be obtained from anywhere and at any time. Unlike physical insurance agencies, websites don't have a specific schedule and they are available at any time. Drivers that have busy working schedules, can compare quotes from anywhere and at any time, even at midnight. Multiple choices. Almost all insurance providers, no matter if they are well-known brands or just local insurers, have an online presence. Online quotes will allow policyholders the chance to discover multiple insurance companies and check their prices. Drivers are no longer required to get quotes from just a few known insurance companies. Also, local and regional insurers can provide lower insurance rates for the same services. Accurate insurance estimates. Online quotes can only be accurate if the customers provide accurate and real info about their car models and driving history. Lying about past driving incidents can make the price estimates to be lower, but when dealing with an insurance company lying to them is useless. Usually, insurance companies will do research about a potential customer before granting him coverage. Online quotes can be sorted easily. Although drivers are recommended to not choose a policy just based on its price, drivers can easily sort quotes by insurance price. Using brokerage websites will allow drivers to get quotes from multiple insurers, thus making the comparison faster and easier. For additional info, money-saving tips, and free car insurance quotes, visit https://compare-autoinsurance.Org/ Compare-autoinsurance.Org is an online provider of life, home, health, and auto insurance quotes. This website is unique because it does not simply stick to one kind of insurance provider, but brings the clients the best deals from many different online insurance carriers. In this way, clients have access to offers from multiple carriers all in one place: this website. On this site, customers have access to quotes for insurance plans from various agencies, such as local or nationwide agencies, brand names insurance companies, etc. "Online quotes can easily help drivers obtain better car insurance deals. All they have to do is to complete an online form with accurate and real info, then compare prices", said Russell Rabichev, Marketing Director of Internet Marketing Company. CONTACT: Company Name: Internet Marketing CompanyPerson for contact Name: Gurgu CPhone Number: (818) 359-3898Email: [email protected]: https://compare-autoinsurance.Org/ SOURCE: Compare-autoinsurance.Org View source version on accesswire.Com:https://www.Accesswire.Com/595055/What-Are-The-Main-Benefits-Of-Comparing-Car-Insurance-Quotes-Online View photos

ExBUlletin

to request, modification Contact us at Here or [email protected]