Subscribe to receive this FREE daily commentary directly in your email
Something Has Changed In The S&P 500
[vc_row css_animation=”” row_type=”row” use_row_as_full_screen_section=”no” type=”full_width” angled_section=”no” text_align=”left” background_image_as_pattern=”without_pattern”][vc_column][vc_tweetmeme type=”follow” follow_user=”michaelmottcm” show_followers_count=”true” large_button=”true”][/vc_column][/vc_row] Get This In Your E-Mail Subscribe
Some fascinating things have developed in the markets over the past couple of days. The pattern of gapping lower, filling it, and moving higher has decisively changed. In fact, we noted it just a couple of weeks ago. In fact, our discussion was even picked up in a MarketWatch.com story.
[widget id=”wordads_sidebar_widget-18″]
The chart below shows we have had successive days, where the S&P 500 has gapped lower but has not been able to refill that gap. The rebound in the index has only taken the S&P 500 back to the level of the initial opening level.
[widget id=”wordads_sidebar_widget-18″]
Technology
We are seeing the same thing occurring in the technology sector using the XLK has a proxy.
It would suggest to me there are just not enough buyers in the market, presently to lift the index above the opening level. Perhaps the machines have been reprogramed?
Sign-up for our premium content “Reading The Markets” and a get Two Week Free Trial Period
You can find it on the Seeking Alpha Market Place –Â
Premium Content: Benefits include the ability to reach out to Mike with questions through a chat room, direct message, or comments.Â
We will respond to questions in short order and will respond to questions with full-post or video segment, just not one or two-word answers.Â
Just $40 per Month
Acadia’s Post Earnings Analysis + OIL Breaks Out
Analysis Of Acadia’s Phase II Data, Plus QCOM/AVGO
NXP Would Benefit From Broadcom Buying Qualcomm
[widget id=”wordads_sidebar_widget-18″]
Discretionary Sector
Looking at the discretionary ETF, one that has recently broken out, the difference becomes apparent. The XLY gapped lower, but the buyers came into the market to completely refill it in the morning and take shares above and beyond by the end of the day.
I believe still that S&P 500, and the technology sector is likely to continue to feel pressure, and continue to drift lower over the next couple of weeks, as we have previously noted.
Tesla
Tesla has it big semi truck event on Thursday night, one that should be interesting. Tesla bulls were able to rally shares yesterday, and despite losses in today’s trading the stock managed to hold support at $310, another positive sign for a bottom getting put in place.
Unlock Deeper Insights with Exclusive Member-Only Video Content on The Market Chronicles YouTube Channel – Just $34.99/Month
That it for today.
Free Articles Written By Mike:Â
Why Biotech Stocks Are Nearing a Rebound
Higher Bid For Qualcomm Is Unlikely, Traders Indicate
Why Netflix, Nike and Starbucks Are Breaking Out
S&P 500 May Pull Back, Setting Up 20% Gain By End 2018
McDonald’s and Starbucks: A Case of Perception Vs. Reality
Nvidia Traders Expect More Gains for the Stock
Biotech Celgene Could Rebound By More Than 15%
Exxon, Chevron, and Oil Are Breaking Out
Costco Could Break to New Highs
Why Nvidia’s Stock Faces A Growth Crisis
Why Big Tech Stocks May Be Headed For A Steep Pullback
Disney’s Investors Suddenly Envision A Streaming Empire
Micron Could Rise At Least 15%, Options Trades Show
Broadcom’s Bid Could Spark A Wave of Chipmaker Takeovers
SNAP’s Stock Rebound Could Last If It Fires Up Growth
Apple Crushed 4Q Earnings, Chip Suppliers To Benefit
Elliot Management Steps Up Efforts to Raise NXP Bid Price
Chipotle Shares Could Fall 20 Percent Further
Broadcom’s Raised Forecast Is Great News For Chip Stocks
Starbucks 4Q Earnings Could Surprise Investors
Apple Shares Are Set Up For Post-Earnings Fall
Apple’s Chip Suppliers Are Breaking Out
Amazon, Alphabet And Microsoft Simply Crushed It
Why Mastercard’s Stock Could Rise 15%
Why Amazon’s Earnings Aren’t As Strong As They Look
Qualcomm Deal With NXP Will Eventually Get Done – M…
Celgene and Biogen May Be Signalling A Biotech Bottom
AMD Could Rise 10% Despite Results, Trades Indicate
Why Tesla’s Stock Is Breaking Down
Why Is McDonald’s Valued Like a Big Tech Stock?
Why Biogen May Sink Biotech Sector As Earnings Beat
Netflix Stock Likely to Rise as EPS Estimates Jump
Bank of America Could Rise Nearly 50%: Technical Analysis
AMD Could Break Out After Results
Qualcomm’s Bid For NXP Still Lacks Investor Support
Celgene’s Sharp Sell-Off Is Likely Overdone
Procter & Gamble Continues To Have Two Big Problems
GE: Getting Excited For The Future
Why IBM’s Big Stock Rally Won’t Last
Allergan Shares On The Verge Of Further Breakdown
We offer a lot of great commentaries all week talking about the major and relevant market events. Be sure to subscribe to get this all and of all free commentaries sent directly to your inbox or follow us on Twitter.
-OR-
[vc_row css_animation=”” row_type=”row” use_row_as_full_screen_section=”no” type=”full_width” angled_section=”no” text_align=”left” background_image_as_pattern=”without_pattern”][vc_column][vc_tweetmeme type=”follow” follow_user=”michaelmottcm” show_followers_count=”true” large_button=”true”][/vc_column][/vc_row]
Michael Kramer owns puts in the XLK
Michael Kramer and the Clients of Mott Capital owns shares of TSLA
Mott Capital Management, LLC is a registered investment adviser. Information presented is for educational purposes only and does not intend to make an offer or solicitation for the sale or purchase of any specific securities, investments, or investment strategies. Investments involve risk and unless otherwise stated, are not guaranteed. Be sure to first consult with a qualified financial adviser and/or tax professional before implementing any strategy discussed herein. Upon request, the advisor will provide a list of all recommendations made during the past twelve months. Past performance is not indicative of future.
© 2017 Mott Capital Management, LLC. Use, publication or reproduction in any media prohibited without the permission of the copyright holder.
$xlk, $spy, $xly, $tsla, #sp500, #tesla, #xlk, #xly, #technology, #stocks
Subscribe to receive this FREE daily commentary directly in your email
Charts used with the permission of Bloomberg Finance L.P. This report contains independent commentary to be used for informational and educational purposes only. Michael Kramer is a member and investment adviser representative with Mott Capital Management. Mr. Kramer is not affiliated with this company and does not serve on the board of any related company that issued this stock. All opinions and analyses presented by Michael Kramer in this analysis or market report are solely Michael Kramer’s views. Readers should not treat any opinion, viewpoint, or prediction expressed by Michael Kramer as a specific solicitation or recommendation to buy or sell a particular security or follow a particular strategy. Michael Kramer’s analyses are based upon information and independent research that he considers reliable, but neither Michael Kramer nor Mott Capital Management guarantees its completeness or accuracy, and it should not be relied upon as such. Michael Kramer is not under any obligation to update or correct any information presented in his analyses. Mr. Kramer’s statements, guidance, and opinions are subject to change without notice. Past performance is not indicative of future results. Neither Michael Kramer nor Mott Capital Management guarantees any specific outcome or profit. You should be aware of the real risk of loss in following any strategy or investment commentary presented in this analysis. Strategies or investments discussed may fluctuate in price or value. Investments or strategies mentioned in this analysis may not be suitable for you. This material does not consider your particular investment objectives, financial situation, or needs and is not intended as a recommendation appropriate for you. You must make an independent decision regarding investments or strategies in this analysis. Upon request, the advisor will provide a list of all recommendations made during the past twelve months. Before acting on information in this analysis, you should consider whether it is suitable for your circumstances and strongly consider seeking advice from your own financial or investment adviser to determine the suitability of any investment.
Liquidity Strains Persist Creating Dangerous Market Back Drop
Mott Capital's Market Chronicles 7 hours ago