S&P 500: Tech stocks rally against falling oil stocks
The index nearly broke its all-time high on Friday, but closed lower after an intraday decline. Is it a trim pattern?
The S&P 500 Index lost 0.14% on Friday, November 19, as it extended its short-term consolidation along the 4,700 level. The broader stock market has tilted despite record rallies in large stocks technologies like Apple (NASDAQ :), Microsoft (NASDAQ 🙂 and NVIDIA (NASDAQ :). It still looks like a short-term peak pattern as the S&P 500 Index continues to rebound from the November 5 high of 4,718.50.
The closest significant support level remains at 4,630-4,650 and the next support level is at 4,600. On the other hand, the resistance level is between 4,700 and 4,720. The S&P 500 continues to rise. trade at the 4,700 level as we can see on the daily chart (graphic courtesy of http://stockcharts.com):
The Nasdaq hits a new record
Let’s take a look at the graph. The tech index hit a new high of 16,625.86 on Friday, led by rallies of mega-cap tech stocks. It accelerated above its short-term uptrend line after breaking through the resistance level of 16,400 on Thursday. There have been no confirmed negative signals so far. However, we can see some short term overbought conditions.
Apple and Microsoft) to new records
Let’s take a look at the two biggest stocks in the S&P 500 Index, AAPL and MSFT. Apple accelerated its uptrend after breaking through the resistance level of around $ 152-154. It hit the new high on Friday at $ 161.02. Microsoft extended its recent lead slightly, hitting a new all-time high of $ 345.10. The two biggest mega-cap tech stocks have hit new highs, as can be seen on their daily charts:
The S&P 500 Index is expected to open up 0.4% this morning. We will likely see further short term fluctuations along the record high. For now, it looks like a short-term consolidation and a flat correction in an uptrend.
Here is the breakdown:
- The S&P 500 is fluctuating along the 4,700 level. For now, it looks like a short-term consolidation after the October-November rally.
- No position is always justified from a risk / return point of view.