Equities markets put in a respectable week as Fridays action turned things around from what was looking like a key reversal pattern. IWM was up almost +2% on Friday and +1.4 % on the week.The catalyst was the jobs report which was very strong, showing that unemployment is the lowest it’s been in 49 years at 3.6%. For those that think the glass is always half empty, wage growth was anemic. Classic analysis regarding employment would take these numbers as a strong positive, reducing the chance of a recession although the bond markets didn’t seem to care and barely budged.

This week’s highlights are:

• Risk Gauges are still strong but retreated from a 100 % bullish reading
• High Yield Debt is having issues relative to US government debt
• Small Cap (IWM) Stocks came alive clearing the 50 Week Moving Average for the first time in 6 months
• Regional Banks moved up and cleared its 200 DMA
• Fed minutes indicate that it is open to anything as its all about the data (a possible rise?)
• Market Internals stabilized after showing topping action

Some of you may already know that Mish’s book, Plant Your Money Tree: A Guide to Growing Your Wealth, will be released on May 8th.

The book provides a simple compass for you to make money decisions of all kinds.

• If you're new to the market, this is your fast-track way to understand which way the markets and economy are going.
• If you're an experienced trader or investor, you will enjoy the step-by-step rules for entering and exiting big swing trades.

“Plant Your Money Tree” covers the core processes we use at MarketGauge. It’s the same process Mish used to win the award for the best trade of the year for 2018 from Real Vision. (not an easy feat considering the roster of traders that participated )