Stallout happening ahead of Jobs Number with multiple sectors near resistance

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Key Takeaways

  • Trends remain bullish, but short-term overbought with indices and many sectors at/near key resistance near November highs, and/or trendline resistance
  • Healthcare the top performer of the week as Med Devices, Pharma kick into gear
  • Crude up against near-term resistance;  Meanwhile Bitcoin cycles under pressure

Thursday’s rally remains near prominent resistance at November peaks along with NASDAQ, while sectors like Technology, Healthcare, and others lie near key make-or—break levels just ahead of Friday’s economic data.  As seen below, Value Line’s Geometric Avg has rallied up to close the gap of its decline, and remains far weaker than SPX or NDX.   The next 1-2 days should set the tone for next week, but until resistance is properly exceeded, it’s still right to expect a further stallout here and possible reversal.  We expect trends for SPX will turn negative under 4612.

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Cryptocurrencies haven’t been acting all that well lately, and 2022 early year cycles show the chance for downside volatility

Unfortunately, Bitcoin failed to live up to its seasonal time of strength in November/December (though three mo...
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