12/8 Bearish. 200 Buying | 260 Selling.
% Stocks Over 50SMA is Bullish. Primary Indicator is Bullish. 20% Weekly is Bullish – Caution.
The market showed modest gains with low urgency ahead of next week’s FOMC, as inflation data remained sticky but the Fed rate cut expectations stayed largely intact.
Communication Services led sector gains, helped by mega-cap strength in Alphabet and Meta, while Retail and Utilities lagged notably; volatility remained subdued with VXX stable.
Upcoming catalyst: December FOMC Rate Decision on Wednesday and Treasury auctions starting Monday.
Key Takeaway:
Traders should remain cautious given bearish volume imbalance despite bullish price indicators. Focus on high-quality momentum names in tech and communication services while avoiding weak retail and energy sectors. Use dips near key supports for entries and watch for potential volatility around Wednesday’s Fed decision.
Watchlist
Continuation: AVGO (S1: 389, S2: 388.5, S3: 387.5, R1: 392.5, R2: 395, R3: 400)
Anticipation: ORCL (S1: 216.5, S2: 216, S3: 215.5, R1: 218.5, R2: 219, R3: 220.5)