Stocks Push Higher To All-Time Highs, But Can It Continue?

S&P 500 (SPY)

It was a good day for the S&P 500, which increased by over 30 basis points to close just over 3,200. After a few days of consolidation, we did manage to push higher above resistance at 3,199.

I am a little be confused at this point because two contrasting patterns are forming, and I’m not quite sure which one is the right one. First, there is the rising channel that the S&P 500 has been following since the middle of October.

Then there is also a rising wedge that has formed, I think. The problem is that this pattern would be a bearish reversal pattern.

So one pattern suggests we continue higher, the other suggests we reverse lower. At this point, to decide which pattern may be right is hard. It will leave me reliant on the direction stocks choose to take. At this point, I do not have a strong opinion.

S&p 500, spx

Netflix (NFLX)

Netflix had a strong day after Pivotal Research made some positive comments. The stock is now approaching $335, and I do expect this to serve as resistance, also think it may prove to be a strong level of resistance. Additionally, the RSI is now overbought. So the stock likely stalls out around this range maybe even falls some.

netflix, nflx

Cisco (CSCO)

It looks like the gap for Cisco is filled, and now there is a downtrend. So which way does Cisco go? Based on the chart probably lower from here, with support at $45.65

cisco, csco

Nvidia (NVDA)

Nvidia hit resistance at $236 and rose above the upper end of the trading channel. The RSI is showing the stock is overbought based on the RSI at 75. Perhaps shares can dip back to $225 before resuming higher.

nvidia, nvda