• Comments for November 27, 2020

    We can see that Investors continued buying the markets on Wednesday,



    But that the small caps seemed to be weakening, probably due to a weakening Cumulative Ticks. This points to a coming sideways action for the small caps.





    The S&P500 Futures is neutral here, while the NQ100 Futures still look bullish.





    For now, the ratio of the sectors on a short wait mode is still very high, indicating a market that is under accumulation on most sectors.



    As a side story, the PM sector displayed a positive divergence for the second time. This tells us that it will probably bounce next week.



    Conclusions:

    Thanksgiving in the middle of a pandemic is certainly something special.
    In terms of investments, after a strong rotation into traditional sectors, some now expect a wave of local lockdowns that will be announced next week. Hence, even though investors bet on a return to a normal economy early next year, some other investors doubt that back to normality will be smooth.

    IMAX tell us that cinema will not reopen soon.



    ZM tells us that online activities will still continue.



    Below are a few other long/short ideas that are Covid independent.