Wall Street was set to open lower this morning after weak earnings announcements from Caterpillar (CAT) and Texas Instruments (TXN). Investors are once again concerned about a possible global slow down due to the U.S.- China trade tensions. Still, the Q3 earnings season has been upbeat, with 80 of the 100 companies beat analyst estimates, according to Refinitiv data.
The S&P 500 briefly moved above resistance at 3003.28 but sold off late in the day to close at 2995.99. The index is now back in the eight-day trading range of 2963.07-3003.28, and we feel the sideways trading could possibly continue until after the Q3 earnings season is complete. The RSI index is still bullish but did turn lower yesterday to close at 55.94.
We are currently long term bullish and short term bullish.
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.
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This is not a recommendation to purchase or sell the stocks of the companies mentioned.
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