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

US Equity markets likely have begun their trek back to test July 2023 highs.   Both US Dollar along with Treasury yields are likely to show further deterioration in October, but also could show some backing and filling in the near-term this week.  The expansion in breadth has been a slow process to a market that’s been rather narrow for the last month.  However, the recent improvement in many former lagging sectors coupled with bearish sentiment remain reasons to be constructive for the back half of October. 

The resilience in SPX, DJIA, and QQQ in pushing up above initial resistance makes it likely that a rally back to July highs is underway, in my view.

Interestingly enough, this strength has occurred coinciding with Yields rising, which has been unusual to see in recent weeks.   (The US Dollar did manage to weaken further on Monday.)

Breadth showed some decent expansion today, with 8 out of 11 sectors rallying more than 1% in trading.  However, this paled in comparison to last Tuesday’s lift, which was considered important for US Equities.

Hourly QQQ charts, shown below, managed to exceed an area near prior lows (which could have been important as resistance on t...

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