NASDAQ Heatmap for last week
The heatmap for last week tells the full story – it has been a tough week for the US stock market. Tech Giants like GOOGL, AMZN, AAPL and TSLA being down 6% or more for the week. Selected smaller Caps, especially in the Healthcare Sector could make some gains.
Stock Market manages to recover after a significant sell-off following the hotter than expected job report Friday
Indexes were volatile after the report, at one point erasing a 2% gain.
The Nasdaq turned in the best gain of the major averages as it punched its way 1.3% higher. But this is hardly impressive given it was clubbed 5.7% lower for the week. It is now firmly back below the 50-day moving average.
The S&P 500 also showed grit by turning in a 1.4% gain. Nevertheless, it suffered a body blow after falling 3.3% for the week due to the hawkish tone of Fed Chair Jerome Powell at Wednesday's FOMC meeting. Still, the 50-day line remains in striking distance for now.
Bulls and Bears Battle Over Jobs Report
The sparring between the bulls and the bears came after another hotter-than-expected jobs report that showed U.S. payrolls surged by 261,000 in October. This was higher than expected but there are a lot of signs that support the labor market will continue to soften here.
In addition, the midterm elections are set to take place. With President Joe Biden suffering from poor approval ratings, a split Congress or even a red wave where the Republicans seize both chambers could be in the offing. Markets tend to rally following the midterms.
ETF-Trading: 2 distribution days for the SP500, 2 for the NASDQ. The recent Follow-Through-Day on Oct 21st failed. Current recommendation for ETF investors is to be 50% Invested (or less).
The heatmap for last week tells the full story – it has been a tough week for the US stock market. Tech Giants like GOOGL, AMZN, AAPL and TSLA being down 6% or more for the week. Selected smaller Caps, especially in the Healthcare Sector could make some gains.
Stock Market manages to recover after a significant sell-off following the hotter than expected job report Friday
Indexes were volatile after the report, at one point erasing a 2% gain.
The Nasdaq turned in the best gain of the major averages as it punched its way 1.3% higher. But this is hardly impressive given it was clubbed 5.7% lower for the week. It is now firmly back below the 50-day moving average.
The S&P 500 also showed grit by turning in a 1.4% gain. Nevertheless, it suffered a body blow after falling 3.3% for the week due to the hawkish tone of Fed Chair Jerome Powell at Wednesday's FOMC meeting. Still, the 50-day line remains in striking distance for now.
Bulls and Bears Battle Over Jobs Report
The sparring between the bulls and the bears came after another hotter-than-expected jobs report that showed U.S. payrolls surged by 261,000 in October. This was higher than expected but there are a lot of signs that support the labor market will continue to soften here.
In addition, the midterm elections are set to take place. With President Joe Biden suffering from poor approval ratings, a split Congress or even a red wave where the Republicans seize both chambers could be in the offing. Markets tend to rally following the midterms.
ETF-Trading: 2 distribution days for the SP500, 2 for the NASDQ. The recent Follow-Through-Day on Oct 21st failed. Current recommendation for ETF investors is to be 50% Invested (or less).
Combing the BEST of two WORLD's: Cathie Wood & Mark Minervini