The S&P futures are higher up 15 points in pre-market trading. There are factors that can derail a BULLISH market trend. The stock has recovered almost completely from the coronavirus crash, and it appears to be continuing its upward trend.
| S&P 500 | 3271.12 | Buy |
| Crude | 40.6 | Buy |
| Gold | 1967.32 | Buy |
| BTC/USD | 11225.09 | Buy |
| Sector | Last | CHG% | CHG | High-quality | Low-cost | Signal |
| CONSUMER DISCRETIONARY | 1145.81 | 1.28% | 14.44 | 1160.3 | 1135.64 | Buy |
| CONSUMER STAPLES | 642.01 | −0.14% | −0.88 | 642.25 | 634.3 | Buy |
| HEALTH CARE | 1228.58 | −0.55% | −6.81 | 1234.93 | 1212.97 | Buy |
| INDUSTRIALS | 605.88 | −0.40% | −2.45 | 607.2 | 595.87 | Buy |
| INFORMATION TECHNOLOGY | 1942.39 | 2.50% | 47.45 | 1942.8 | 1893.97 | Buy |
| MATERIALS | 379.77 | 0.11% | 0.43 | 380.58 | 374.93 | Buy |
| REAL ESTATE | 224.82 | −0.16% | −0.36 | 225.19 | 221.79 | Buy |
| COMMUNICATION SERVICES | 191.69 | 0.77% | 1.47 | 192.27 | 188.92 | Buy |
| UTILITIES | 309.12 | 0.20% | 0.62 | 309.83 | 304.67 | Buy |
| Financials | 399.06 | 0.01% | 0.04 | 399.25 | 393.67 | Buy |
| ENERGY | 272.09 | −0.69% | −1.90 | 273.99 | 266.58 | Strong Sell |
BULLISH DRIVERS – The Trump administration was said to be looking at ways to support the economy if Congress failed to reach an agreement on a stimulus package. White House chief of staff Mark Meadows said that the White House was not optimistic about a stimulus deal being agreed to in the near term.
Approximately 60% of the S&P 500 companies have reported earning and 12 of the DOW with generally positive and optimistic outlooks. Robust manufacturing data from Europe and Asia sparked increased optimism over the global growth picture.
BEARISH DRIVERS: Neel Kazhkari, President of the Fed Bank of MN in Minnesota, stated that the US could need to shut down their economy again. He also urged Congress to provide more financial support. A further shutdown for the coronavirus is highly unlikely, and the infection rate seems to be declining.
What to watch for this Week
Investors who are looking for direction should keep an eye out on Congress and the White House. Any signals from the Federal Reserve about the health of an economy are also important. Investors should wait to see how the US manufacturing and additional earnings data are performing.
