The video in this report is only accessible to members
The video in this report is only accessible to members

Thursday’s breakout in US stock indices served to give more proof about the intermediate-term trends turning more bullish while growing ever closer to short-term resistance targets, which might be reached by Friday.

US Treasury yields along with the US Dollar fell sharply on the day, bolstering the argument for this rally in risk assets to continue.

Near-term, technical targets in price and time likely could be reached by this Friday.  However, given the constructive technical price action, dips are thought to be buyable and should prove short-lived ahead of additional upside follow-through.

Semi-conductors and Transports both gave some early proof of being resilient mid-day ahead of Powell’s speech even with Tech hardware and Software lagging early on.  This was thought to be a sign of strength, and a true positive to see great resilience in these leading sectors.

By end of day, all major GICS Level 1 S&P Sectors outside of Energy had turned positive while implied volatility fell sharply.  The VIX finished the session at the lowest levels in more than a year, and looks headed toward the mid-Teens.

Overall, I expect a bit more upside follow-through for Thursday into Friday before a probable consolidation...

Unlock this article with a FREE 30-Day Trial!

An FSI Pro, or FSI Macro subscription is required in order to access this content.

*Free trial available only on a monthly plan

Disclosures (show)

Get invaluable analysis of the market and stocks. Cancel at any time. Start Free Trial

Articles Read 2/2

🎁 Unlock 1 extra article by joining our Community!

You’ve reached your limit of 2 free monthly articles. Please enter your email to unlock 1 more articles.

Already have an account? Sign In

Want to receive Regular Market Updates to your Inbox?

I am your default error :)