The month of May is now in the books and the race back to all-time highs seems so ludicrous that it is in all likelihood a foregone conclusion.
As the adage goes “break ’em and buy them back” and it pretty well summarizes the price action this past week.
The sellers gave it their best go(as they have tried unsuccessfully numerous times before) but in the end, each pullback has been met with a strong wave of buyers and the SPY is now comfortably riding its 8 period EMA.
This past week the # of S&P 100 stocks trading above their 50 day MA climbed to 96%.
You have to go back all the way to May 2016 to see a similar reading.
So this is without a doubt an elevated level which makes it notable but not yet actionable.
In this week’s video I discuss:
Now watch this week’s Weekly Outlook video to see the setups and levels we’ll be watching as well as the technical outlook for the VXX SPY QQQ IWM DIA EEM TSX TLT GLD MGC BTCUSD EEM and more for the week of Weekly Market Outlook For – June 1 – 5, 2020.