Are We Seeing The Beginning Of A Breakout In Retail?
Michele Schneider | Aug 18, 2022 02:05AM ET
Retail rose 4.10% on Tuesday so the consumer is spending more money, most likely out of necessity for essential items.
XRT is showing strength but is still below the 200-day moving average.
Retail is breaking out.
Inflation and higher prices are forcing consumers to spend more. Analysts expect to have improved retail sales, especially in the grocery market category.
Consumers around the globe are being hammered by inflation.
Savings rates and personal spending in the U.S. are impacted, as consumers struggle with spending more and rising prices.
Modern Family Daily Performance
- IWM -0.04%
- XRT 02%
- KRE 90%
- IYT 70%
- IBB -1.36%
- SMH -1.13%
- BTC 89%
There is overhead resistance over 4,260, and if the S&P 500 goes through this price level, it will be bullish for the current uptrend.
My previous target for the short-term trend for the S&P 500 was 4,170, which is also approximately a hair above 50% of the previous downtrend beginning in April and bottoming in mid-June.
Watch for divergences building in the credit markets and SPY and TLT.
Watch Apple (NASDAQ:AAPL) and Tesla (NASDAQ:TSLA) if they can hold current price levels, broader bullish implication on the NASDAQ.
The ARKK ETF is a good guidepost on disruptive tech, genomics, and robotics and a barometer of risk-on sentiment.
Volatility and commodity price extremes are to be expected according to history in times of bullish commodity cycles.
h2 ETF Summary/h2
S&P 500 (SPY) 431.99 now resistance with support at 427.17
Russell 2000 (IWM) 202.37 the resistance with support at 199.34
Dow (DIA) 343.62 resistance and support at 339.20
Nasdaq (QQQ) 334.80 first level of resistance and support at 329.05.
KRE (Regional Banks) 69.02 resistance, support level at 67.85.
Get The News You Want
SMH (Semiconductors) 246.45 resistance and support at 241.83.
IYT (Transportation) 251.71 resistance and support at 247.21.
IBB (Biotechnology) 134.39 resistance point and 131.65 is support.
XRT (Retail) 76.15 resistance point and with support is at 71.65.
Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.