Stocks Saw Uneven Trade on Positive Earnings, Finish in the Green

Stocks Saw Uneven Trade on Positive Earnings, Finish in the Green


The S&P 500 gained 0.2%, Dow Jones Industrial Average (+0.7%) and the NAS Comp (+0.1%) experienced uneven post options expiry trading action finishing in the Green. The Russell 2000 (-0.2%) did, too, but it finished in the Red. 

Most S&P 500 sectors finished higher with consumer staples (+1.2%) and utilities (+1.1%) outperforming.

Conversely, the energy (-1.0%) and material (-0.7%) sectors under-performed the broader market and were the only sectors ending in the Red.

With stocks recouping a good chunk of Tuesday’s losses, there was some hope that the prior day’s weakness was nothing more than a 1-day pullback in an overbought market.

Throughout the session we saw some market participants selling into strength, which resulted in a steady decline throughout the morning that left the S&P 500 below its 50-Day MA at 2619. Then the skidding turned into a wave of buying interest soon after the S&P 500 violated its 50-Day MA

Note: The 50-Day MA has proven to be an important technical support mark the past 2 sessions, where an inflow of buyers has helped prevent selling efforts from getting out of hand. But remember the 3 days after options expiry are often difficult to trade.

The S&P 500 ascended to its flat line in afternoon action despite some headline concerns surrounding a US-China trade deal, global growth prospects, and the US government shutdown

US House Speaker Nancy Pelosi told President Trump Wednesday that he may not deliver a State of the Union speech in the chamber of the House of Representatives until the 33-day-old partial government shutdown has ended.

President Trump held his position and rebuffed her strongly, telling reporters at a White House meeting with conservative leaders that Mrs. Pelosi canceled the House invitation because she is “afraid of the truth.”

Wednesday, the major US stock market indexes finished at: DJIA +171.14 at 24575.62, NAS Comp +5.41 at 7025.28, S&P 500 +5.80 at 2638.66

Volume: Trade on the NYSE came in at 773-M/shares exchanged

  • Russell 2000 +7.8% YTD
  • NAS Comp +5.9% YTD
  • DJIA+5.4% YTD
  • S&P 500 +5.3% YTD

HeffX-LTN’s overall technical analysis of the major US stock market indexes if Neutral to Bullish in here.

Stay tuned…

DIA, SPY, QQQ, RUTX, VXX, DJIA, stocks, indexes, President, Trump, government, shutdown, technical, truth, White, House, US, China, trade, buyers, selling, Red, Green, bullish,

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Paul Ebeling

Paul A. Ebeling, polymath, excels in diverse fields of knowledge. Pattern Recognition Analyst in Equities, Commodities and Foreign Exchange and author of “The Red Roadmaster’s Technical Report” on the US Major Market Indices™, a highly regarded, weekly financial market letter, he is also a philosopher, issuing insights on a wide range of subjects to a following of over 250,000 cohorts. An international audience of opinion makers, business leaders, and global organizations recognizes Ebeling as an expert.

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