Another productive week in the market. In fact, I want to keep this report short since really not much has changed since last week.
We had two really strong “tests” this week with a negative reversal on Tuesday, where the market spent the morning in positive territory, then the rest of the day giving up all the gains and then some. At the close it looked ominous, but the next day we completely reversed the downward move and closed at a new high. The second test came yesterday with a strong decline in the morning and a complete intraday reversal to close near break-even. Clearly there is support, as every time the market starts to break down, buyers come in and stabilize things.
For now, the market continues to act quite well. In fact, it scares me a little that I have nothing to complain about J. The market is shrugging off any bad news that comes out, and just steadily chugs higher … which obviously is wonderful for our pocket books.
More so, the rise we have seen over the past few weeks is the type I like to see, a very slow and steady move up with multiple days in between of consolidation. When the market moves up too fast too quickly, things get out of whack, buyers dry up, and eventually the market needs to ‘reset’ or correct, but over the past few weeks the upward move has been very gradual, not euphoric, which is ideal. Slow and steady wins the race, and for the stock market this type of slow movement usually means more upside to come.
For now, we stay fully invested with little cause for concern.
Hope you have a wonderful and safe weekend.
Resnn Investments, LLC
On a personal note, if you haven’t had a chance to check out my book, please check out the “look inside” feature at Amazon here …