S&P 500, Amazon, Microsoft, And Apple Getting Ready For A Fall
Stocks continued their rebound on Friday but faded towards days end. The S&P 500 was able to get all the way to our trend line at 2,760 but failed. It also reverted below support at 2,742 and as the chart shows was unable to rise above that level despite a few attempts. It was a week ago that signs emerged a bottom had been put in place. But it is today that signs are emerging, the recent run-up may have some to give back next week, and could even see a pullback to 2,691. Not a massive decline, but given the volatility in recent weeks enough to put some investors and the media on edge.
Watch The Latest Video: Why Amazon Has Peaked And Tesla Could Be Cheap
The chart of the VIX shows a rise back toward 25 could be in order over the course of next week.
Amazon is showing signs of severe fatigue. The stock stopped rising right near its prior highs, and as the chart shows, the previous uptrend has turn into resistance.
While Microsoft is all looking a bit tired.
Again, this is NOT a doomsday scenario, but the recent rally has gone too far too fast after a steep decline. So a natural pullback would be more than healthly. But I will continue to explore this and bunch of other exciting topics over the long weekend.
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Tags: #sp500 #apple #microsoft #amazon #vix