Stock exchange news, S&P500. American stock market indexes S&P 500 and Nasdaq have been rising for four weeks already (by 0.07% and 1.07% accordingly), and Dow Jones index has dropped by less than 0.5%. The sentiment was positive during the first half of the week, but buying has eventually dropped due to controversial results of discussing Greek debts and smaller growth of US economy than expected.
As stated by Igor Vasev, the Head of Department at Masterforex-V Trading Academy, S&P 500 future is showing a steady growth, and last week it was set over the technically strong point of 1300.00:
COT reports show that the number of long-term positions has dropped among hedgers and has risen among small and large traders.
Buying-selling Delta shows that this truly was buying, but not selling-out at the point of market orders maximal accumulation:
Market and volume profile shows this maximal accumulation for two weeks at the range of 1308.25 - 1310.25. Therefore, this point will be the key one during this trading week:
The only confusing matter concerning volumes distribution is the shift of maximal profile to the lower part of price zone, which is at odds with the directed trend movement. As a result, strong falling trend to below 1308.25 may be expected this week (it is worth closing mid-term positions in such circumstances).
Last week’s maximal growth of raw material sector may give another signal of declining rate of market growth as a whole:
If to consider market from the point of view Baltic Dry Index (BDIY), which is considered to be a leading indicator of global economic activity, it has dropped almost twice since the beginning of the year despite positive dynamics of European Union.
BDIY has failed to recover to its previous peaks after the crisis of 2008. Since the beginning of the year it has lost almost a half of its value and currently is at “the bottom line”.
Specialists suppose that this is connected with temporary difficulties with shipbuilding industry, and nobody admits that market still is in deep recession, even despite large-scale expenditures of US FRS.
