Weekly Newsletter   Challenge account   Weekly Newsletter   


01.31.2023 – TUESDAY MARKET OUTLOOK

Market Outlook
 

The market reversed yesterday’s and today’s losses as the economic data showed weakness. Consumer confidence also dropped. We are in an environment where bad data are good news. This gave investors hope that the FED will not be aggressive anymore and raises the rates by 0.25 points as is widely expected. In the end, the markets finished up 1.46%

 
Market Outlook
 

This is good for this new bull market. It continues improving providing more and more bullish odds to the market’s narrative. The Ichimoku chart below is full-blown bullish now. We still may see a pullback as the cloud is narrow (we want it wide, and we want the market ideally to hug it, not run away from it).

 
Market Outlook
 

The market pretty much acted as forecasted. We went down and then recovered (as forecasted). The only difference was that the recovery was stronger than expected. But that is not that important. What matters is the trend so we can position our trades accordingly. And this trend is improving so far.
Tomorrow, we will have the FOMC interest rate hike announcement, and after that Powell will be speaking. That will provide a lot of volatility to the markets. It is a wild card so far. Generally, I expect that Powell will do as expected and the markets will go higher.

 
Market Outlook
 

If you want to learn more about our SPX weekly analysis, subscribe to our weekly newsletter.
 





Leave a Reply

Your email address will not be published. Required fields are marked *