After last week’s historical move higher in the indexes, it was expected that some sideways action, or even a pullback, would be in order. The SPY and the QQQ did the sideways dance throughout the week, slowly expanding their ranges higher and lower, both ultimately resolving to the upside by Friday’s close. The IWM was not so fortunate, giving back much of what it gained last week and only managing to bounce on Friday. Regardless of the weakness in small caps, bulls far and wide are in celebration mode, as this rally certainly appears to have legs. Let’s dig into the individual charts and see how the week ended!
This week, the SPY ETF closed at $440.61 (+1.36%), breaking out over the aVWAP from the July high but stalling right at the downward-sloping trendline from the same spot. MACD is curling up and just above lies a small, unfilled Fair Value Gap that could close in the weeks to come. The GoNoGo indicator is flashing a ‘Strong Go’ reading.
This week, the QQQ ETF closed at $378.39 (+2.90%), breaking through the downward-sloping trendline from the July highs and the aVWAP from the same spot. The GoNoGo indicator is flashing a ‘Strong Go’ signal and the MACD indicator is curling up, as the price rises above the volume shelf from all-time highs.
This week, the IWM ETF closed at $169.11 (-3.08%), making it the weakest performer of the group. This index stalled right at the Point of Control from the all-time high as well as the rising trendline from the October 2022 low. The GoNoGo indicator is still indicating a ‘Strong No-Go’ reading.