Buy Any Seasonal Market Weakness Ahead of Year End Rally - Oppenheimer (SPY)
- S&P 500, Nasdaq fall as tech shares give up gains
- AI boom could continue to drive S&P 500 higher - Goldman
- Amazon reportedly eyes ad-tier of Prime Video streaming service: WSJ
- Deutsche Bank, Wells Fargo expect US recession to start in Q4 2023
- Cathie Wood buys the dip in Coinbase shares amid SEC crackdown
News and research before you hear about it on CNBC and others. Claim your 1-week free trial to StreetInsider Premium here.
Technical analyst Ari Wald at Oppenheimer would use any weakness in the S&P 500 over the coming weeks to add to positions. Wald notes from a trading basis, seasonal weakness in the first half of December is usually met with buying demand ahead of a year-end rally.
"Since 1985, average S&P 500 performance has declined between Dec. 6th and Dec. 15th before reversing higher and reaching new highs into year-end," Wald commented. "In addition, it’s important to highlight the differences in our indicators between now vs. one-year ago ahead of the Q1’16 correction: 1) internal breadth is broader now; 2) leadership is cyclical now; 3) credit spreads are narrowing now; 4) commodity prices have stabilized now; 5) interest rates are moving in the right direction now; and 6) the overall trend is stronger now too. In accordance with the typical seasonal trajectory, we therefore recommend buying early-December weakness rather than selling late-December strength."
Serious News for Serious Traders! Try StreetInsider.com Premium Free!
You May Also Be Interested In
- Druckenmiller Positive on NVIDIA (NVDA) Long Term
- Eisai Co Ltd. (4523:JP) (ESALY) PT Raised to JPY9,500 at Credit Suisse
- Resilient indices and the AI stock surge mask investor caution - Barclays
Create E-mail Alert Related CategoriesAnalyst Comments, Technicals
Related EntitiesStandard & Poor's
Sign up for StreetInsider Free!
Receive full access to all new and archived articles, unlimited portfolio tracking, e-mail alerts, custom newswires and RSS feeds - and more!