Commentary: Paul Ebeling on Wall Street
$DIA, $SPY, $SDS, $QQQ, $VXX
Friday the US stock index futures jumped on the news that The Trump Administration tax reform was on track for Y 2017, but staying power was just OK, we will see what effect it has on the action this week.
After the close Friday, the stock indices held their same patterns, some good, some not so good.
However, the news at the weekend has been Keyed on flood ravaged Texas, but rain or shine the markets will open today in NYC.
There are still some great index patterns and some great leaders, just not a lot of them across the boards.
Some of the weaker patterns became oversold then rebounded last week.
Retailers saw some good moves after their selloffs. There are potential recoveries, along with some potential rollovers, what’s new?
Friday’s Silver Lining for the stock market was it did not collapse. That rise in tax reform related futures failed to result in a new break North, but the market avoided the sharp declines experienced late week the past 2 weeks.
So, not falling was a win, Yes?
S&P 500 4.08, 0.17%
NAS Comp -5.69, -0.09%
DJIA 30.27, 0.14%
S&P 400 7.50, 0.44%
SOX -5.44, -0.50%
But, that still leaves some of the good stocks, and others in position to make a new moves North.
Looking at ProShares Trust (SDS), the Northside play on a Southside SPY move, because it is in a position to move higher, as SPY moves lower if that happens.
The market is not coming together with either the good index patterns pulling the weaker ones higher or the other way round, so look at both sides, and only play the moves that are solid.
Remember, always take what the market gives, it is your money, and your responsibility.
The Bulls Vs The Bears
Support and Resistance
Have a terrific week.