U.S Equity Markets closed mixed following another quiet trading session. Although the Dow closed higher by 0.20%, the NASDAQ 100 was weak as Bond Yields rose, closing lower by 0.24%. Federal Reserve Bank of Dallas President Lorie Logan and Fed Governor Michelle Bowman were both hesitant to comment any further on economic outlook or future monetary-policy decisions heading into the central bank’s next meeting in two weeks. While ‘’Fed speak’’ usually leaves investors with little new information, the growing chorus of softer rhetoric suggests that the Fed is ready to pause rate hikes. The median house price fell 0.9% to $375,700 in March, while existing home sales decreased 22% from the year prior, now making it 13 out of the last 14 months that sales have slowed. U.S. President Joe Biden is planning on signing an executive order that aims at limiting American companies’ investments in the Chinese economy. The proposed measured is likely to be signed following its introduction to fellow Group of Seven nations – which meet May 19 in Japan. This move would further escalate the economic warfare the U.S. has waged against China in the past few years, which included tariffs on Chinese imports and a restriction on American exports. The Biden White House unveiled stricter rules for battery sources that resulted in major electric-vehicle manufacturers to lose tax credits. Apple launched a savings account with a rate of 4.15%. The new savings account requires no minimum deposit or balances, but requires consumers own an iPhone and Apple Card. European Markets closed mixed. Growth in the region rose to its highest in nearly a year driven by a continued surge in the services sector. The slight easing of pricing pressures combined with the fact that manufacturing activity remained in contraction territory is not likely to curb further rate hikes from the European Central Bank. Further rate hikes from the ECB continue to look likely as certain pricing pressures remain resilient. However, headline inflation did ease to 6.9% from 8.5%, due to the rapid decline in energy prices. In Asia, China’s economy grew 4.5% in Q1. This marked the fastest pace in a year and above estimates of 4.0%. China’s growth has been a major story to watch as it reopens from strict pandemic restrictions that were in place since 2020. Elsewhere, Oil rose 1.14% while after a quiet session Gold closed higher by 0.4%.
For anyone following my Platinum Service it made 249 points yesterday and is now ahead by 2652 points for April after closing March with a gain of 6168 points, while finishing February with a gain of 3164 points, after closing January with a gain of 4687 points, while finishing December with a gain of 2054 points. November ended with a gain of 4789 points, while finishing October with a record gain of 9619 points, making 6660 points in September, after closing August with a gain of 2228 points, having made 2660 points in July, following a gain of 3371 points in June. The Service made 3651 points in May, after making 762 points in April, following a gain of 5883 points in March. The Platinum Service made an impressive 5324 points in February, after ending January with a gain of 3878 points, more than making up for December’s 932 points loss. Since I started this New Platinum Service in June 2015 it has averaged a monthly gain of over 1600 points. I have a YouTube Channel which contains recent interviews I have given This can be viewed by clicking HEREHERE Please subscribe to this for new interview notification
Equities
The S&P 500 closed 0.09% higher at a price of 4137.
The Dow Jones Industrial Average closed 66 points higher for a 0.20% gain at a price of 33,875.
The NASDAQ 100 closed 0.24% lower at a price of 12,869.
The Stoxx Europe 600 Index closed 0.01% lower.
This mnorning, the MSCI Asia Pacific closed 0.30% higher.
This morning, the Nikkei closed 0.14% higher at a price of 28,632.
Currencies
The Bloomberg Dollar Spot Index closed 0.4% lower.
The Euro closed 0.4% higher at $1.1043.
The British Pound closed 0.4% higher at 1.2485.
The Japanese Yen rose 0.1% closing at $134.13.
Bonds
Germany’s 10-year yield closed 4 basis points higher at 2.52%.
Britain’s 10-year yield closed 2 basis points lower at 3.76%.
U.S.10 Year Treasury closed 5 basis points lower at 3.52%.
Commodities
West Texas Intermediate crude closed 1.14% higher at $78.76 a barrel.
Gold closed 0.4% higher at $1989.10 an ounce.
This morning on the Economic Front we have no data of note from either the U.K. or the Euro-Zone. At 2.00 pm we have U.S. Housing Price Index. This is followed at 3.00 pm by Consumer Confidence, New Home Sales and the Richmond Fed Manufacturing Index. Finally, after the close we have earnings from Microsoft.
Cash S&P 500
My S&P plan worked well as the market rose to my 4134-sell level before trading lower to my revised 4123 T/P level (afternoon low at 4138) and I am now flat. All eyes will be on Microsoft earnings which report after the close. Ahead of these earnings the S&P reversed yesterday’s lows to close slightly higher on the day. Despite how quiet the S&P has traded for all of April we have had a nice profitable month by not been greedy in taking gains when available. Internally the market is still weak with the McClellan Oscillator closing at +1 last night. The S&P has resistance from 4145/4160 where I will again be a seller with a 4175 ‘’Closing Stop’’ which is just above last week’s 4173 high print This morning the S&P is trading lower at 4123. We have strong support from 4070/4085. I will continue to be a buyer on any dip to this area with the same tight 4059 ‘’Closing Stop’’.
EUR/USD
The Euro rallied 70 points yesterday and I am still flat. The Euro has resistance from 1.1110/1.1180 where I will be a seller with a 1.1225 tight ‘’Closing Stop’’. I will now raise my buy level to 1.0920/1.0990 with a higher 1.0865 ‘’Closing Stop’’’.
June Dollar Index
No Change. I am still a buyer on any dip lower to 100.50/101.10 with the same 99.95 ‘’Closing Stop’’. I still do not want to be short the Dollar at this time.
Cash DAX
It is very hard to be short the DAX as every dip is bought. I still do not like the price action believing that the market is close to a significant top. Today, I will continue to be a seller from 15950/16030 with the same 16105 ‘’Closing Stop’’. Given how overbought the DAX is trading I still do not want to be long the market at this time.
Cash FTSE
No Change. I am still short at an average rate of 7885 with the same 7830 T/P level. I will leave my 7975 ‘’Closing Stop’’ unchanged. If any of the above levels are hit, I will be back with a new update for my Platinum Members.
Dow Rolling Contract
No Change. My only interest in buying the Dow is still on a dip lower to 33200/33450 with the same 32995 wider ‘’Closing Stop’’. Until the Dow breaks and closes below its 50-Day Moving Average (33102) I have no interest in having a short position.
Cash NASDAQ 100
My NDX plan worked well. The NDX traded higher to my initial 13040 sell level before selling off to my 12945 T/P level and I am now flat. The NDX had a nice 100-point rally into the close but still closed lower by 0.24%. I do not like the price action in either the DAX or NASDAQ. The seasonal chart is still positive for the next 10 days. This is the reason that I continue to sell rips hoping for a small retracement to bank some points. Today my NDX sell level will be from 13060/13200 with the same 13305 ‘’Closing Stop’’. The NDX has short-term support from 12650/12800 where I will be a strong buyer with a 12535 tight ‘’Closing Stop’’.
June BUND
Shortly after I posted yesterday morning the Bund rallied to my 134.10 T/P level on Friday’s 133.66 long position, and I am now flat. The Bund has support from 132.30/133.10 where I will be an aggressive buyer with a lower 131.65 ‘’Closing Stop’’. I still do not want to be short the Bund at this time.
Gold Rolling Contract
No Change. I still do not like the price action in Gold. As a result, I will not chase the market higher, leaving my 1845/1960 buy level unchanged with the same 1929 wider ‘’Closing Stop’’.
Silver Rolling Contract
No Change. I am still long at a price of 24.90 with the same 25.60 T/P level. I will add to this position at 24.10 while leaving my 23.35 ‘’Closing Stop’’ unchanged. If any of the above levels are hit, I will be back with a new update for my Platinum Members.
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