S&P 500, Nasdaq, Russell 2000 Hold Ground, Setting Up a Bullish Black Friday
Declan Fallon | Nov 22, 2023 01:59
While coming in as a technical distribution day, the generally low volume yesterday was a sign that Thanksgiving trading has come early. I won't be expecting much until next Monday, but Black Friday is more likely to be bullish.
The Russell 2000 (IWM) experienced the largest loss. The 50-day MA is a potential support area although it may not be needed.
Bears could view yesterday's doji in the Nasdaq as a bearish harami cross, one of the most reliable reversal signals. If this was to be true it would need a gap lower to confirm. The good news is that there is plenty of support to lean on with the 20-day MA a probable level to test should weakness emerge.
It's a similar story for the S&P 500 as it returns to a relative outperformance against the Russell 2000. Technicals are net positive and the potential for a bearish harami cross reversal is there as it is for the Nasdaq.
It has been a strong advance from the October low. The attempt at a correction in early November was quickly snuffed out, will now be the time we see this happen?
Get The App
Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.