Stocks Are Rising As Hopes For Stimulus Grow

Volatile Trading Session Lays Ahead On June 1 As Big


S&P 500

Stocks are rising like they typically do on Miracle Monday, with the S&P 500 (NYSE:) trading higher by about 50 bps. Meanwhile, the futures are taking out another layer of resistance, this time at 3,482. It really doesn’t leave any resistance until we get back to the upper 3,500’s.

Until the election, as long as Biden continues to hold a wide lead over Trump and stimulus talk continue to be entertained, the market is likely to continue to plow higher. The biggest risk for the market will not come until after the election. I continue to think that the election will be much tighter than the polls suggests and that a blue wave sweep is not the base case.

I will continue to roll out more data in the days ahead that supports the notion that Biden doesn’t have a runaway victory. I spent a good portion of late Sunday night, breaking down the polling data in states like PA, suggesting Biden’s led may be tenuous.

Dollar Index

The is rebounding some today, and while I think the dollar will rise over the longer-term, the next three weeks may one where it either falls or moves sideways. I believe that the ECB intends to weaken the euro and will once it is given the opportunity.

Dollar Index 1 Hr Chart

Apple

Apple (NASDAQ:) is moving higher this morning and is breaking out this morning from this trading range around $116. The next big level of resistance, I think, is coming around $124.

Apple Inc 1 Hr Chart

Tesla

Tesla (NASDAQ:) is moving higher this morning with a push above $450, sending the stock on a path back to $475.

Tesla Inc 1 Hr Chart

Altria

Is the worst over for Altria (NYSE:) Maybe. This stock has been destroyed over the past few years. One sign is that the RSI is now beginning to trend higher; we can find out really soon too if it can break above $42.60, that would be a huge positive. It looks like it is getting close.

Altria (MO) Daily Chart

Disney

Somehow, Disney (NYSE:) continues to hold the uptrend; I’m not sure how. The streaming business isn’t enough to hold up the rest of the business and support the valuation. The RSI trend is clearly lower, we can see what happens, but I still tend to think this one heading lower.

Disney Daily Chart

Original Post

Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.



Source link

Michael Kramer


Leave a Reply

Your email address will not be published. Required fields are marked *


About us

InvestLab is a financial services technology company focused on the global trading market. Founded in 2010 in Hong Kong, the company develops trading, market data, and social research products that enable individual investors and small to mid-size brokers to access global markets. We provide brokers and financial institutions cross border capabilities for retail investors into 43 markets globally.


CONTACT US

CALL US ANYTIME