6/9 Cautiously Bullish. 470 Buying | 70 Selling.
% Stocks Over 50SMA is Bullish – Caution. Primary Indicator is Bullish. 20% Weekly is Bullish.
The market reclaimed the 6,000 level on the S&P 500, buoyed by a stronger-than-expected May employment report that supports continued economic growth despite rising Treasury yields. All 11 S&P sectors closed positive, led by energy (+2.0%), communication services (+1.9%), consumer discretionary (+1.6%), and financials (+1.2%), while volatility remained subdued with VXX stable.
Traders should monitor key support/resistance in SPY near 598/600 and QQQ near 529/531 as the market consolidates with mild bullish bias. Focus on mega-cap leadership and sectors showing strong volume-backed momentum, but remain cautious given tariff-related headwinds impacting select names like LULU. Keep stops tight and look for entries near confirmed support zones.
Upcoming catalyst: April Wholesale Inventories on Monday and a $58B 3-year note auction, with trade talks between U.S. and China officials scheduled for Monday in London.
Key Takeaway:
Swing traders should prioritize stocks with clear volume and momentum signals amid cautious optimism. Avoid names showing guidance weakness or tariff pressures. Use support levels to enter and maintain disciplined stops given the mixed signals from economic data and geopolitical uncertainties.
Watchlist
Continuation: URGN (S1: 7.5, S2: 7.25, S3: 7, R1: 8.0, R2: 8.5, R3: 8.8)
Anticipation: MSFT (S1: 470, S2: 468, S3: 465, R1: 473, R2: 475, R3: 480)
