INFOCUS 10-6-2023
INDEX.htm
Interest rates soared, but that did not bring the sell-off that
bears expected. Instead, Professionals were aggressive
buyers.
Will their buying continue in the face of a new Middle Eastern
War? That will be the real test. The threat of a much
higher
move by oil prices casts an ugly shadow for those who are old
enough
to recall 1973-1981. Gold rose mightily in those years.
The NASDAQ and QQQ saw a high volume turnaround on Friday
as key support levels held in most cases. But the
Power Indexes
remained negative except for NVDA, GOOG and TSLA among the
stocks shown below. The Closing Power down-trends were
broken
in the case of the NASDAQ and QQQ. Interest rates soared
higher.
We continue to have a two-tier market.
Short covering allowed RETL, TNA (small caps) and MDY (mid caps)
to bounce up off their supports. Watch to see if their
rally can continue
as traders ponder 5%+ interest rates as the FED faces a renewed
rise
in oil prices as well as an economy whose jobless rate refuses to
rise
as one would expect if there was a slow-down ahead. From
the FED's
point of view, inflation is not yet under control.
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