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

Key Takeaways

  • Thursday’s churning continuing to follow a “Two-steps forward, One Step back” type trajectory. Higher prices are likely into the March FOMC meeting.
  • Defensive strength looks to be reasserting itself, and Utilities breakout bodes well for this group to outperform on an absolute and relative basis vs SPX in 1H 2022
  • Commodity gains while DXY strengthens argue for a domestic tilt vs Emerging near-term

No compelling evidence of strength or weakness in trend Thursday, but the near-term uptrend for US stock indices remains intact, and higher prices look likely into March FOMC, with trends possibly turning higher more aggressively as cycles bottom near March 7.   Emerging markets continue to underperform as the US Dollar index has reached the highest levels since June 2020.  As shown below, despite QQQ lagging Thursday, trends are further along in testing key resistance from January.  Above 350 argues for a rally up to 369-371 in QQQ which should be the first important resistance, for those short-term oriented.

The video in this report is only accessible to members

Utilities should outperform in 1H 2022 as volatility persists

While the trends in US equities have slowly started to stabilize, the extent of the SPX rally ha...

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 :)