S&P 500 (SPY)
The markets are resilient and yesterday we received a mild mid-day pullback on headlines that a trade deal between the US and China may be delayed until December.
The market shrugged it off as if nothing ever happened, dipping to as low as 3067 and filling a gap from Monday. Perhaps that was the pullback; maybe it was not, but it seems hard to deny that the strength of the market is very impressive.
I’m torn because I could easily make a case for the S&P 500 to climb from here or continue to see a mild pull, or what seems now more likely a sideways consolidation. But I’d hate to say it, I think the 2-3% pullback may not happen, and that perhaps I will be wrong, and that the march higher will continue from here. Maybe today will be more telling.
50-Day
We can also see that the number of stock above their 50day moving has come down a bit.
It seems that perhaps we need to think differently about how the market will act going forward, the bid in the market place is undeniable.
Roku (ROKU)
Roku Inc (NASDAQ:ROKU) is not having a good afternoon falling to $120. It looks like this kid has still got it :P. The company is overvalued plain an simple. The multiples are beyond reasonable. Stocks priced for perfection and beyond, that then report inline results don’t go up. A decline back to $100 seems possible.
Qualcomm (QCOM)
Qualcomm (NASDAQ:QCOM) is up about $4 and trading above $88 after reporting strong results. The stock could be on its way to a price not seen since the year 2000.
Tesla (TSLA)
Tesla (NASDAQ:TSLA) had a good day and is approaching resistance again at $333. If the stock can break above that price, $360 seems like the next stop.
Cisco (CSCO)
Cisco (NASDAQ:CSCO) seems like it is breaking out and is now on pace to reach our target of around $49.30.
Micron (MU)
Finally, Micron (NASDAQ:MU) had a pullback today, but I think the stock should be fine and still be able to work its way into the low to mid-’50s.
