The S&P 500 continued grinding lower on Friday after the job report that offered some mixed reviews. I’m not going to get into here, because for the most part, I do not think the job report matters all that much at this point given the Fed’s laid out targets.
However, the S&P 500 managed to fall to support around 2,915. It is what I would consider being a minor level of support because it is the upper bound of a gap. To completely close the gap, the index would need to fall to around 2,895. That seems possible during the week of August 5
Here is another interesting view of the S&P 500, which I have come up with. We can see there is a clear uptrend that has now formed off the December lows. It would suggest that the index could fall to around 2,880. In either case, both charts would suggest the mini-pullback is likely running fumes at this point and is closer to its completion than something more severe.
Amazon reached the lower bound of the chart; I pointed out before earnings. It would suggest that AMZNWealth Strength IndexAAPL is Extremely Up and trending Up now rebound and return to around 2,000 in the coming weeks. Additionally, the relative strength index has hit oversold levels.
Apple fell below support at $209 on Friday, and downside looks like it may be to around $198.
Alibaba has now broken vital support at $161 and could be on its way lower to $151.
Acadia had a big week rising to resistance around $28.70. The stock even held up firmly during the sell-off on Thursday and Friday. I think the tide has finally turned for this stock, and $31 is possible.
Alphabet appears to be filling a gap back down to around $1,150. Nothing major, and is still holdings it uptrend.
Mott Capital Management, LLC is a registered investment adviser. Information presented is for educational purposes only and does not intend to make an offer or solicitation for the sale or purchase of any specific securities, investments, or investment strategies. Investments involve risk and unless otherwise stated, are not guaranteed. Be sure to first consult with a qualified financial adviser and/or tax professional before implementing any strategy discussed herein. Upon request, the advisor will provide a list of all recommendations made during the past twelve months. Past performance is not indicative of future results.