The popular averages closed narrowly mixed on Friday. Non-farm payrolls grew less than expected in November, while the unemployment rate unexpectedly declined. Meanwhile the prices of crude oil and gold rose on Friday.
Above is my 3-month chart of the S&P 500. After setting record highs in August came a huge drop on September 9 through the 50-day moving average amid heavy trading volume. The rebound the next day saw no follow-through as the SPY meandered for a couple of months before taking a dive from late October into early November in apparent fear of a Trump presidency. Then it recovered virtually all of that during the first four days of election week including the day after Mr. Trump’s election. The 200-day moving average provided support on November 4, then the 50-day MA was surpassed on November 9.
Every trading day last week the SPY attained another all-time closing high. We are still early in the half-year period that is normally the strongest for the stock market. All of my outlook arrows remain green as the technical signs are still promising.
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