Technical Snapshot Key Takeaways
- The S&P, Nasdaq, Dow, and Russell all finished
Monday's session higher, with the Russell leading the way. All the indices
reversed higher from their respective initial downside support ranges before
giving up a portion of their gains from their respective overhead
resistance ranges. Despite the move higher, Daily trends across all
indices continue to point lower, with momentum readings confirming price
action by stalling below resistance alongside price.
- The Volatility Index (VIX) finished Monday's
session lower after spiking down and quickly reversing a portion of its
losses. On the way down, price broke through several of its initial
downside support ranges, then closed above its initial downside support
range from 25.10-23.50. Since price did not close beyond these levels,
they remain intact. A turn lower into this range and a break below 23.50
would likely lead to a test of the 22.75-21.50 support range below.
Conversely, if support holds and price turns higher, it will likely begin
making its way toward the 28.50-27.20 resistance range above, followed by
35.75-34.95. A move higher in the VIX would likely align with further
selling pressure in equities, while a move lower would likely coincide
with renewed buying pressure in equities.
- S&P 500 GIC Sector Rankings (12-Week:
Strongest-Weakest): [1] XLE (Energy), [2] XLU (Utilities), [3]
XLP (Consumer Staples), [4] XLB (Materials), [5] XLI (Industrials), [6]
XLRE (Real Estate), [7] XLC (Communication Services), [8] XLK
(Technology), [9] XLV (Healthcare), [10] XLF (Financials), [11] XLY
(Consumer Discretionary)
...