SHORT TERM: stocks rally, led by the Techs, but close mixed.
Stocks opened higher this morning following another blockbuster quarter reported by Apple last night. A small pullback followed until about 10:30, then the market generally edged higher for the rest of the day. The SPX/DOW/NDX/NAZ/R2K all made new bull market highs, and the SOX index trended higher again. While the Cyclicals seem to be taking a breather, the Techs have been leading the market. Apple held onto most of last nights gains, and Google had a good day as well. When the SPX nudged higher to 1498, it confirmed an ongoing extension in Minute wave three. I have updated the wave counts, down to the hourly charts, on the SPX/DOW/NDX/NAZ, and posted the SPX 15min chart. It appears there are now many waves to complete from current levels. Which would indicate some choppiness in the days ahead. Short term momentum is still a bit overbought. At the close the SPX/DOW were mixed, and the NDX/NAZ rose 0.35%. Bonds lost 1/2 point, Crude was 50 cents lower, Gold dropped $9.00 and the Euro was lower as well. Tomorrow Q1 GDP will be reported at 8:30, along with the Employment cost index. Then at 10:00 a Consumer sentiment reading. The uptrend continues to work its way higher.
The Presidential candidate debates begin tonight, for those who are interested, with the Democrats on MSNBC. Still very early in the nomination process, but I’m rooting for one of the candidates that is currently far behind the pack. Naturally, the most qualified candidate doesn’t always win. Maybe this time will be different. We need a change, and we need a knowledgable leader. Now, more than in the past several decades. Best to your evening!
MEDIUM TERM: bullish
LONG TERM: bullish.