INFLATION STAYS ELEVATED BUT MOMO CROWD BUYS STOCKS
By Nigam Arora & Dr. Natasha Arora
To gain an edge, this is what you need to know today.
Inflation Stays Elevated
Please click here for a chart of S&P 500 ETF (SPY) which represents the benchmark stock market index S&P 500 (SPX).
Note the following:
- The chart shows that the stock market is hovering around the top band of the support/resistance zone. When this behavior is looked at in the context of the CPI numbers given below, the only objective conclusion is that the momo crowd is in control.
- For the stock market to go down substantially, the bullish momo crowd will have to lose control of the market or start panicking and selling.
February 14, 2023