Market Update Into November 13th: The Bulls Push Higher

After last week’s historical move higher in the indexes, it was expected that some sideways action, or even a pullback, would be in order. The SPY and the QQQ did the sideways dance throughout the week, slowly expanding their ranges higher and lower, both ultimately resolving to the upside by Friday’s close. The IWM was not so fortunate, giving back much of what it gained last week and only managing to bounce on Friday. Regardless of the weakness in small caps, bulls far and wide are in celebration mode, as this rally certainly appears to have legs.  Let’s dig into the individual charts and see how the week ended!

Weekly Analysis

This week, the SPY ETF closed at $440.61 (+1.36%), with a powerful breakout over the aVWAP from the July high. The price stalled right at the top of the descending channel, but with MACD curling up and the small, unfilled Fair Value Gap just above, a push higher seems imminent. To add some additional conviction for a continuation higher, the GoNoGo indicator is flashing a ‘Strong Go’ reading.