Market Update Into 7/12: Broad Markets Book 3rd Straight Week of Gains After Thursday’s Decline
Leading U.S. benchmarks wiped out last week’s losses after treasury yields moved up on Friday to edge the major indexes to close at new all-time highs. On Thursday, the broad market looked to end the week lower on renewed fears of a rise in the new COVID-19 delta variant and its impact on the global economy; however, an increase in U.S. wholesale inventories reported last week combined with the uptick in treasury yields was a signal that inflationary pressures appear to be easing; putting off any worries of near term action from the Fed.
In this blog post, make sure to check out the top 3 TrendSpider charts posted this week on social media; as well as the broad market charts into next week!
Don’t forget to tune in for Episode 6 of the “Stock Trading Pit” this Sunday, July 11th at 8 PM (EST) with special guests Moonshine and Theta Warrior.
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The $SPY closed the week at $435.48 (+0.39%); a new all-time high. On the daily chart, the bullish breakout from the ascending triangle pattern has been confirmed, retested, and the price is holding well above the 1.618 extension. On the weekly, price is looking equally as bullish with “bullish hammer” close above the highest volume nodes on Friday; hinting at a strong open come Monday.
The $QQQ ended Friday at $360.97 (+0.48%); rebounding from Thursday’s steep decline. On the daily chart, price is working its way through a very steep ascending wedge formation, hinting at a near-term test of the upper trend line in the next few days or weeks. On the weekly chart, price has tested the 1.618 extension and closed with a bullish-looking hammer which has many wondering if a breakout is imminent.