INFLATION HOTTER THAN EXPECTED BUT MOMO GURUS HAVE A NEW NARRATIVE TO BUY STOCKS
By Nigam Arora & Dr. Natasha Arora
To gain an edge, this is what you need to know today.
Hotter Inflation
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 slight pullback on inflation data.
- The chart shows volume continues to be low, indicating lack of conviction.
- The volume today will be a tell. If the stock market pulls back on heavy volume on bad inflation data, that will be an indication that the bulls are losing control. On the other hand, if the stock market has only a shallow pullback or goes up on lower volume, that will be an indication that bulls continue to be in control.
February 13, 2024