U.S. markets are set to open much lower today on fears the U.S.-China Trade War could be getting worse. There are no signs of a resolution, and technology stocks continue to move lower. Slower than expected business growth out of the eurozone also added to global markets selling off.
The S&P 500 was down on Wednesday and closed at 2856.27, and the index is now just above potential key support at 2854.23. As of 8:45 am futures ore off 26.10 which suggest an open at 2831.30. If the down open is confirmed, the S&P would move through support at 2813 and bring the 2800 level back into play as potential support. We are currently short term cautious until the index moved back above the 2854.00 level.
The FOMC announced that a patient approach to setting monetary policy could remain in place “for some time.” So, markets will continue to adjust to the notion that rates should remain lower for the rest of the year.
We are currently long term bullish with short term cautious.
John N. Lilly III
Accredited Portfolio Management Advisor℠
Accredited Asset Management Specialist℠
Portfolio Manager, RJ
Dominguez & Jones Wealth Management Group
The Relative Strength Index (RSI), developed by J. Welles Wilder, is a momentum Oscillator that measures the speed and changes of price movements.
The S&P 500 is an unmanaged index of 500 widely held stocks that is generally considered representative of the U.S stock market. Past performance may not be indicative of future results. Keep in mind that individuals cannot invest directly in any index, and index performance does not include transaction costs or other fees, which will affect actual investment performance. Individual investors’ results will vary. Opinions expressed are those of the author John N. Lilly III, and not necessarily those of Raymond James. “There is no guarantee that these statements, onions or forecast provided herein will prove to be correct. “ The information contained was received from sources believed to be reliable, but accuracy is not guaranteed. Investing always involves risk and you may incur a profit or loss. No investment strategy can guarantee success. The charts and/or tables presented herein are for illustrative purposes only and should not be considered as the sole basis for your investment decision. International investing involves special risks, including currency fluctuations, different financial accounting standards, and possible political and economic volatility. Investing in emerging markets can be riskier than investing in well-established foreign markets.