Major averages rose on lower volume Friday perhaps in anticipation of the Federal Reserve's two-day meeting which starts this Tuesday. The markets are taking in stride the situation in Iraq which caused oil prices to spike, but closed breakeven on Friday even as tensions mounted, suggesting that the situation in Iraq will ultimately be benign for the markets much as the markets were able to resume uptrends after prior situations in Syria, Libya, and Ukraine. That said, averages could fall further from current levels as they did during previous crises such as in Syria, Libya, or Ukraine, should tensions escalate in Iraq. Futures are down this morning but well off their overnite lows as the markets remain relatively calm over events in Iraq. Investors should be attuned to the fact that a pullback here is a) not unexpected anyway given the extended nature of the indexes since the NASDAQ began its sharp ascent through its 50-day moving average nearly a month ago and b) and a potential buying opportunity as leading stocks pull into logical areas of resistance.
Meanwhile, even in the face of rising tensions in Iraq, individual stocks continue to flash strong technical action as we reported to members in real-time as buy points materialized last week.
This information is provided by MoKa Investors, LLC DBA Virtue of Selfish Investing (VoSI) is issued solely for informational purposes and does not constitute an offer to sell or a solicitation of an offer to buy securities. Information contained herein is based on sources which we believe to be reliable but is not guaranteed by us as being accurate and does not purport to be a complete statement or summary of available data. VoSI reports are intended to alert VoSI members to technical developments in certain securities that may or may not be actionable, only, and are not intended as recommendations. Past performance is not a guarantee, nor is it necessarily indicative, of future results. Opinions expressed herein are statements of our judgment as of the publication date and are subject to change without notice. Entities including but not limited to VoSI, its members, officers, directors, employees, customers, agents, and affiliates may have a position, long or short, in the securities referred to herein, and/or other related securities, and may increase or decrease such position or take a contra position. Additional information is available upon written request. This publication is for clients of Virtue of Selfish Investing. Reproduction without written permission is strictly prohibited and will be prosecuted to the full extent of the law. ©2024 MoKa Investors, LLC DBA Virtue of Selfish Investing. All rights reserved.
