Market Outlook™ – 12/12/19
Today’s Market Outlook:
Stocks reacted to positive trade news with an above-average trading range and strong volume amid its 27-point gain. The S&P had an overbought cluster on its monthly chart in November and a weekly overbought cluster last week and, so far, this week. The large-cap index came very close to forming a daily overbought cluster with the Market Sentiment line for the first time since late April. The near-term line fell short of the upper-reversal zone and has the potential for a bearish near-term divergence now that the S&P is at new highs itself. Not surprisingly, all the major indexes’ Market Forecast charts appear similar to one another.