Stock Market Outlook: Can the Bulls Keep Dancing?

The S&P 500 index jumped another 1.23% on Tuesday. This remarkably consistent movement resulted in 9 positive performances over 11 days.

Apple (AAPL) was a key driver in the S&P 500 move as the world’s largest publicly traded company rose 11 straight days.

Another fun fact – All S&P 500 real estate and utility stocks finished higher. And nearly all discretionary and technology stocks did the same.

The VIX Volatility Index closed below 20 just weeks after remaining consistently above 30 for a surprising amount of time.

The four main stock market indices have a strongly bullish position; they are also all trading above their 30-day moving averages.

The Russell 2000 was Tuesday’s winner (+2.65%); it ended with an overbought cluster signal (not necessarily bad at the start of a trend). The NASDAQ Composite (+1.84%) had its highest close since mid-January, while the Dow Jones Industrials (+0.97%) lagged due to higher exposure to the energy and financial services.

The 10-year US Treasury yield fell to 2.40%, but it remains entrenched in a significant uptrend and is near multi-year highs. Long-term US Treasuries rose 0.76% and high-yield bonds rose 1.23%

Bitcoin continues to impress. Yesterday it broke out of a multi-month sideways trend and was able to hold the line today around $47,000.

Oil and Gold both fell to start the day but then rallied to close positive; neither has a bullish mid position at the moment

The only sector that fell into the red today was energy (-0.26%), but it remains at the top of the sector selector for the 12th consecutive week. Real estate was Tuesday’s standout sector with a 2.93% lead; Technology grew by 2.12%.

Our example trade application featured a bullish swing trade on T-Mobile (TMUS) due to its bullish short-term and intermediate postures, as well as bouncing off its rising 30-day moving average.

Get market insights, stock trading ideas and educational instruction at Market Scholars website.

Stock Market Outlook Video (for March 30) News and Analysis

Twitter: @BrandonVanZee and @MarketScholars

The author may have a position in the titles mentioned at the time of publication. Any opinions expressed herein are solely those of the author and do not represent the views or opinions of any other person or entity.

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