Friday began with optimism in global stock exchanges. This had led to a positive opening of the Wall Street trading day with 0.7 – 0.8% decent gains. As the day went on, the green had faded away, and until noon the market was already breakeven to 0.2%, and it seems that the market has turned negative. And then the buyers came in, and the market made a slight come-back to today’s highs for some of the indices.
S&P gained +0.69% to 2803.69, close by resistance at the 2807 area and getting supported by the 2790 area. Further support lies at 2780, 2760, 2740, while the nearest resistance lies at the 2800-2815 range. Further resistance lies around 2860 and 2900, which is currently irrelevant (2900 and beyond, toward the S&P all-time high).
The DOW had gained +0.43%, up to 26026, and was relatively weak compared to the other indices. The DOW started its trading day at 26130, rejected down to 25930, and from there recovered. Support levels lie at 25900-26000, 25450-500, 25000-25100. Resistance lies at 26250-26300, before the all-time high area.
NASDAQ rallied 0.83% to 7595, trading in the range of 7540-7605 and closing high. Support levels lie at 7540-7570, 7475-7500, 7400. Resistance levels are at 7670, 7750-7800, and 7880-900.
The market is coming stronger following the last few days’ sell-off. It looks like the momentum had gone, however, the market is still positive and the money is flowing in. A bullish sign came from the S&P: For the first time in four months, the index had closed above the significant 2800 level.
Where is the market heading now?
Following 20% or so gains, the fear from a reversal is legitimate and live. In my opinion, this possibility is realistic – the shape of today’s candle could turn into, in some situations, a reversal candles.
On the other hand, the market so far had many opportunities to move down, and it did not succeed in doing so, and the VIX index had continued to dive as far as 13.6, whereas the major companies seem bullish: AMZN joined the party with 2% gains following almost three weeks of consolidation.
Bitcoin In Red
Unlike Wall Street, Bitcoin is closing a negative week. The digital currency started its week topping up $4190, close by the target and the significant resistance level of $4200. As of now, the coin is trading around $3800, which indicates a 10% or so loss. For the past six days, Bitcoin shows almost no volatility, as it trades around the same $3800 range.
Significant Gainers and Losers
GREEN: PBYI +40%, ZS +21.9%, XRAY +17.7%, FTCH +17.6%, BIO +17.2%, GPS +16.2%, SRCL +15.8%, ACHC +15.7%, FOLD +15% 13.1%, BE increased another 12.7%.
RED: 36.5%, XNON -36.5%, NTNX -32.7%, UVE -16%, WUBA -14.8%, DDD -14%, ALRM -9.5%. TSLA -7.84% (first quarter reports are expected losses).