The NASDAQ Composite closed at new multi-year high while the S&P 500 made a new all-time high, pushing IBD's Big Picture back into "Market in Uptrend". Meanwhile, the Market Direction Model has been on a buy signal since April 24. Quantitative easing changes market dynamics which the model takes into account, but nevertheless makes for a highly challenging environment. Major averages were up on the day but on lower volume, and the number of distribution days is still alarmingly high. Actionable buy points remain relatively scarce.
The SPDR Gold Shares (GLD) and iShares Silver Trust (SLV) continued their rebounds on low volume as analysts call for the metals to reverse from here and resume their declines, although there is no evidence of that just yet. Physical demand for the metals remains very strong as physical premiums remain relatively high, particularly for silver. Apple (AAPL) continues to rebound as well, but as we mentioned in yesterday's pre-market report, the stock has completed three waves of selling within its overall downtrend which could set up the possibility of a more substantial rally. AAPL closed just below its 50-day moving average, which currently remains a key area of overhead resistance for the stock.
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. ©2018 MoKa Investors, LLC DBA Virtue of Selfish Investing. All rights reserved.