Market Outlook™ – 10/30/20
Today’s Market Outlook:
On another day of strong trading volume, the S&P 500® closed lower by more than 40 points – its fourth loss this week and ninth drop in the past 14 trading sessions for a total of 264 points, or 7.5%, over that timeframe. The intermediate line continues to fall in the lower half of the chart. Also, long-term Market Sentiment is dropping towards the chart’s midpoint. Due to a late rally, the near-term line jumped higher for a second straight day and finished out of oversold territory. However, the momentum line stayed near the lower-reversal zone and has been stuck in the chart’s lower half all week. The intermediate line for the Russell 2000® just crossed below its falling Market Sentiment. And, both the Russell and NASDAQ 100® have their intermediate lines still above the 50th percentile with rising six-week moving averages.