Shaking off weak hands Friday

Monica Kingsley Monicakingsley

S&P 500 duly surged on the inflation data, only to pull back almost all the way to the daily lows – yet I had been clear to clients about strongly bullish session and close to come. It did, and there was plenty to profit on as market breadth improved, building on timid Thursday‘s sectoral picture.

We had a great week, starting off with Monday‘s upswing call, and then shorts worked fine till Friday‘s data came – it has to be respected that not a full FOMC lows retest happened Medium-term trend was up, and the only point of contention was whether we get some sort of hot inflation momentary scare driving stocks lower so as to buy with an even better risk-reward ratio, or not.

It‘s though the job market (job creation) data that‘s harder to get right (euphemistically said) – the inflation data have a better record coming in just as expected lately (unlike NFPs). As there was no surprise, stocks could react with relief.

Author

Monica Kingsley

Monicakingsley

Monica Kingsley is a trader and financial analyst serving countless investors and traders since Feb 2020.

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