Indices Tick Over For Another Week
Declan Fallon | Aug 17, 2020 12:19AM ET
Last week passed with little change in lead indices. The NASDAQ is moving sideways after trading flat out of its five month rising price channel.
The index is underperforming relative to the Russell 2000 with a 'sell' trigger in the MACD, but other technicals are bullish. Friday's narrow range day came with higher volume distribution but it was more of a neutral close to the week. It's anyone's game for the coming week.
The S&P clocked a third day of flat trading on very light volume. All technicals are bullish, although like the NASDAQ it's underperforming against the Russell 2000.
The index to watch for next week is the Russell 2000 (via iShares Russell 2000 ETF (NYSE:IWM)). It's coming off a recent breakout on improving technicals, including a relative improvement to the NASDAQ and S&P. It didn't do a whole lot last week but the small 'bull flag' is a positive.
We can't read too much into what happened last week. Trading days were light and intraday ranges narrow. Vacation season has a few more weeks to go before we can start to consider a pick up in volume and perhaps a directional move for markets.
Get The News You Want
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.