Trade Deal: A Reason To Buy?

This is a typical development in a continuation pattern, which is a pause in the major trend. The weekly chart shows a flag formation (lines a and b). A weekly close back above $143.25 will project a move to the $154-$156 area. The weekly volume has been declining as GLD has moved lower (line c), but its OBV has stayed positive and above its rising WMA.

I would not be surprised if there were a few choppy days as we head into the holidays, as a trade deal may already have been priced into the market by investors. This may cause some to take profits on new trade deal news. There are also likely many professionals who have become immune to trade news and are unlikely to establish new positions until a trade deal is fully negotiated and signed.

However, with only 68% of the S&P 500 stocks above their 50-day EMA's, there are still many opportunities in individual stocks.

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In my Viper ETF Report and the Viper ...

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