Technical Trend Outlook

If history is any guide, US stock market investors should see renewed strength in the next month(s), but tumbling (relative) strength in big-tech signals caution..

We see increasing vulnerability across major US stock markets, with the benchmark S&P 500 showing signs of exhaustion after the latest narrow advance. While Europe and the UK stock indices remain in constructive uptrends, Japan’s rally appears overextended and due for a pause.

What’s more in this report:

Is the recent pullback in US stock indices just a small dip in the bull run, or the start of a larger stock market correction?

What’s more in this report:

• The Nikkei-225 index keeps hitting record highs, but the risk of a correction is high and increasing.
• Blow-off top for gold hints at a prolonged cooling-off period.
• WTI may have staged another successful test of the very significant price support zone just above 55.