Two weeks ago I wrote that if the S&P 500 closed above 2915, testing the all-time highs would be next. Low and behold, this week we not only tested the all-time highs, we tested, closed above and made a new all-time high. Can you say the bull is large and in charge!? As of Friday’s close at 2945, even after the Fed came out to speak Wednesday which took the S&P down -53 points to test 2900 and like off a springboard from the low of 2900 we took off to settle the week at 2945.
As of Thursday, the S&P closed at 2917 and for the week, I had mentioned to Astute Insiders that the next level was a closing above 2925, if that was achieved then we were more bullish than bearish. Having settled at 2945 we are likely too close not to test the intra-day all-time highs at 2954.
Over the weekend, it can be a bit of a toss-up given the clowns that hold political power. That being said there are no ignoring wise words a mentor of mine once told me, “The trend is your friend, except at the end.” At this point and time, I do not see an end to this trend. We could easily see a pullback of some kind, as nothing goes in a finite direction without a breather, possibly a re-test of support at 2900.
The days that looks to be of most interest in the coming week is Wednesday, May 8th and Thursday, May 9th, as China reports their exports, imports and trade balance. This could be the catalyst to lead to there being progress in the on going trade war, not to mention that President Trump has just set another round of tariffs so the markets are already looking to be heading lower as we approach tomorrow’s opening bell. Keep your eyes and ears open
Finally, I was wanting to leave a bit of a sneak peek for all of our Astute Blog readers. In our last blog post, we wrote about being and getting long Disney (DIS) and since then it has taken off like a rocket. This is not to say that we can predict the future by any means, but it sure is nice to see the stock perform as anticipated. Our next stock will most likely be MGM Growth Properties (MGP). There are plenty of reasons to jump on this one. Want to know more? Become an Astute Insider and get all the details.