top of page
  • Writer's pictureT. Livingston

Market Outlook Continues To Improve

In late October, I laid out my "Case For A New Bull Market." Since then, there have been some bullish developments for the market. First, Federal Reserve Chairman Jerome Powell stated on Wednesday that, “The time for moderating the pace of rate increases may come as soon as the December meeting.” Any signs that the FED may be willing to pause rate hikes and that battle to tame inflation is succeeding will always be good news on Wall Street.

In addition, the Russell 2000 and S&P 500 are now both above their respective 200-day moving averages which is a wonderful sign. While the Nasdaq is still trading below its' 200-day line, it is has shown some nice accumulation as well as a lack of distribution over the last three sessions.

Most importantly, we are starting to see individual stocks wake up. ENPH, ALNY, VRNA, and REGN all displayed signs of institutional accumulation this week. CELH, MNST, FSLR, CPRX, and VRTX have all had wonderful weeks while DAWN is setting up well near the 50-day moving average.

All of this is a good sign for the overall health of the market. Remember, we want to see broad participation as the market rallies. An uptrending index held up by just a few mega-cap names like we saw in late 2021 indicates the market is skating on thin ice. Hopefully, we will continue to see individual stocks outperform in the coming weeks. That will be a wonderful way to end the year after a difficult trading environment throughout most of 2022.

To learn more about swing trading strategies, stock market trading, and how to trade cryptocurrencies, visit my course page.

Full Disclosure: I currently own some of the stocks mentioned in this blog post.

Disclaimer: This information is issued solely for informational and educational purposes and does not constitute an offer to sell or a solicitation of an offer to buy securities. None of the information contained in this post constitutes a recommendation that any particular security, portfolio of securities, transaction, or investment strategy is suitable for any specific person. From time to time, the content creator or its affiliates may hold positions or other interests in securities mentioned in this blog or the associated Twitter and Instagram feeds. The stock or stocks presented are not to be considered a recommendation to buy any stock or stocks. This material does not take into account your particular investment objectives. Investors should consult their own financial or investment adviser before trading or acting upon any information provided. Past performance is not indicative of future results.


Commenting has been turned off.
bottom of page