The serious U.S. indexes moved largely higher over the past week, with the exclusion of technology stocks in the PowerShares QQQ Trust. Third quarter gross familial product (GDP) game in at a solid 3.2% annualized rate in its final pore over, but nonresidential fixed investment accounted for a much larger slice of the pie than consumer dissipating. Consumer sentiment also fell to 95.9 in December, although the undercurrent conditions component hit 113.8 this month.
International markets were tainted over the past week. Japan’s Nikkei 225 rose 1.53%; Germany’s DAX 30 level 0.23%; and Britain’s FTSE 100 rose 1.3%. In Europe, the euro sagacious a modest shock after Catalan separatists won a regional election that could unhappy the region’s fourth largest economy. In Asia, the Japanese government improved its output and capex estimates as the economy continued to post a strong pick-up.
The SPDR S&P 500 ETF (ARCA: SPY) rose 0.38% over the past week. After up out from R1 resistance at $267.46, the index moved lower to retest trendline substantiate levels by the end of the week. Traders should watch for a breakdown to the pivot feature at $160.90 or a rebound to retest upper trendline resistance at around $270.00. Looking at complex indicators, the relative strength index (RSI) remains in overbought territory at 70.95, while the going average convergence divergence (MACD) could see a bearish crossover in the come close term after experiencing a rise dating back to late November. (See also: Hedge Hard cashes See Opportunity in the S&P 500.)
The SPDR Dow Jones Industrial Average ETF (ARCA: DIA) rose 0.47% on top of the past week. After breaking out from R1 resistance at $246.29, the list retraced to trendline support at around $247.50 by the end of the week. Traders should make for a breakdown to the pivot point at $238.93 or a rebound higher to retest northern trendline and R2 resistance at $250.30. Looking at technical indicators, the RSI appears overbought at 75.56, while the MACD could see a bearish crossover in the next to term following its rise over the past month.
The PowerShares QQQ Custody (NASDAQ: QQQ) fell 0.18% over the past week, making it the grave performing major index. After reaching upper trendline denial, the index fell to R1 support levels at around $157.31. Traders should chaperon for a rebound to retest upper trendline and R2 resistance at $159.79 or a breakdown to lower trendline prop near the pivot point at $153.88. Looking at technical indicators, the RSI seems slightly overbought, but the MACD remains in a somewhat bullish uptrend. (For more, see: JPMorgan Bullish on Large-Cap, Mid-Cap Tech Ancestries.)
The iShares Russell 2000 Index ETF (ARCA: IWM) rose 0.62% on top of the past week, making it the best performing major index. After rebounding from the revolve point at $150.33, the index traded sideways at just under $154.00 for most of the week. Businessmen should watch for a breakout to upper trendline and R1 resistance at $156.71 or a ruin to pivot point support at around $150.33. Looking at technical meters, the RSI appears relatively neutral at 60.16, while the MACD continues to course sideways.
The Bottom Line
The major indexes moved higher exceeding the past week, but many have increasingly bearish technical particulars working against them. Next week, traders will be closely examining several different economic events, including consumer confidence on Dec. 27, jobless be entitled ti on Dec. 28 and the Chicago PMI on Dec. 29. The week should see relatively light calling, however, given the Christmas holiday. (For additional reading, check out: How to Disseminate a Stock for Christmas.)
Note: Charts courtesy of StockCharts.com. As of the time of journalism op-ed article, the author had no holdings in the securities mentioned.