Initial upside resistance for the S&P 500 is its November low near 740. A one-third to 50% bounce would put it in the 750-800 region. There’s no convincing signs that this is anything more than an oversold bounce. But it may be a decent bounce. One way we’d know if it were more than just [...]
As of yesterday…
The S&P broke the same long-term uptrend line that we have been looking at for the NYSE. The NYSE has a 40 yr uptrend line for now, we are assuming the NYSE uptrend will hold which should coincide when the S&P hits 640. 640 is the new bottom on the S&P. We think that should happen [...]
According to The Wall Street Journal, trailing 12-month earnings for the S&P as a whole are likely to drop below $30, thanks to the recession. At least one pundit has applied an average earnings multiple of 15 to that number and come up with a projected value for the S&P 500 index below 450 — [...]