Slight climbs, these are the factors to consider.
1- It seems that Monday’s party on Wall Street with the markets closed, the Memorial Day is celebrated, has greatly conditioned today’s day. Traders seemed reluctant to make any decisions either upward or downward. We will have to wait until Tuesday to resume the pulse of the market after this day of complete transition.
2- The market has moved erratically and unpredictably throughout the session. We must not forget that we are still within the lateral range as for a month and a half and all the movements have been quite unpredictable. It is true that from a technical point of view it gives the feeling of wanting to try to correct a little towards the soil or intermediate zone of the lateral range
Above, the route is very limited by the great resistance of the SP 500 between 2990 and 3000, the range of its comfortable life is very small and the possibility of correction to the floors on the side is much greater. The strong risk-benefit ratio doesn’t come out of strong hands.
3- In the week all the indices have more or less the same. Both SP 500, Dow Jones and NASDAQ around a weekly gain of 3.3%.
4- The politicians have realized the vein they have with the matter of medicines and vaccines to temper bagpipes. Today there has been a lot of bad news but they have managed to completely neutralize it with a rain that we have not seen in the whole week of declarations every few minutes of new vaccines, new medicines, comments that the vaccines will be available in a very short time, etc. etc.
The government has managed to get all the politicians who speak to repeat the mantra that before the end of the year there will be a vaccine, today even Dr. Fauci has said exactly the same thing. Easy to say, cheap and within a season it is enough to extend the term more and here nothing has happened. It is the same as with the commercial agreement that we were always signing. If you remember first, they said it was a few days away because they were translating it. Then they were finishing some details. Then after a lot of months what if this what if the other. Of course, in the end, nothing is eternal. Here it is exactly the same.
5- In addition, as Bank Of America has said today, we are talking about a market that has not existed for a long time, with some central banks buying, take note that I am not mistaken with the figures: 2.4 billion dollars an hour in assets They will tell me how none of the markets will behave in a more or less rational way, neither upward nor downward.
6- On a normal day all these statements would have achieved a sharp rise, but today there were problems with the trade war. The problems are growing minute by minute. Today the United States has released a new blacklist with more than 30 Chinese companies on it to put more sanctions on them. In addition, very strong incidents between the two countries in relation to the national security law that China is going to sign in Hong Kong.
It is logical to suppose that the Chinese are going to counterattack at any moment and their sanctions and retaliation will be just as harsh. Concern about this issue has been offset by everything about vaccines and we have come to this end with fairly moderate increases.
7- The MOC ends today with a buyer imbalance of 48 million. $ 504 million of buyer imbalances. As for the sellers imbalances have risen to 456. What to remember that yesterday the imbalances were strong of more than 200 million dollars upward and with enough volume, so it should not surprise the relative strength that was in the market today. For Monday, this small imbalance indicates little.
8- The Dow Jones Industrial Average fell 8.96 points, or 0.04%, to 24,465.16, the S&P 500 gained 6.94 points, or 0.24%, to 2,955.45, and the Nasdaq Composite added 39.71 points, or 0.43%, to 9,324.59.