October 17, 2023

By Nigam Arora & Dr. Natasha Arora

To gain an edge, this is what you need to know today.

Consumer Spending Binge

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 a big rally in the stock market yesterday.  The rally was triggered by callous calculation by Wall Street.  Please read yesterday’s Morning Capsule to learn more about the callous calculation.
• The chart shows that RSI has quickly become overbought.  Even though overbought markets are vulnerable to a pull back, in the complete context of volume and price action, this quick move up in RSI is a positive for the market.