The week starts out exactly how we expect. The SPDR® S&P 500 (NYSE:SPY) and indices are stuck in the trading range within a trading range.
The latest economic data is weak, hence causing buyers to return to the market, figuring bad news is good news.
Four of the 6 Economic Modern Family members are in a bullish phase, with Transportation in the lead. High Yield bonds holding recent gains.
EVs are still in vogue, with Tesla (NASDAQ:TSLA) in the lead while Rivian (NASDAQ:RIVN) strengthens ahead of earnings this week.
This brings us to our Complete Trader Scanner and Aluminum. Given the recent sell-off in aluminum, copper, and steel, industrial metals remain overall outperformers.
Not only is this a good sign for the economy, but it also speaks to continuing raw material shortages and the ever-growing mass adoption of electric vehicles.
Note the columns in the MarketGauge tracker. Considering the range of the indices and our bullish bias in commodities, one of our scans is for Bullish Continuation Stocks.
I particularly like to see stocks that are in a bullish phase plus positive in our Triple Play indicator. And we want to see good momentum in our Real Motion Indicator.
For Century Aluminum (NASDAQ:CENX), we like that it is a material (sector we are bullish). Furthermore, it crossed the 10-daily moving average for one day as of last Friday.
Additionally, CENX is trading above its 6-month calendar range (seasonal) and had a positive stack in its floor trader pivots.
On the Daily chart, a move and close over 11.50 looks like a good follow-through buy opportunity. We see this stock potentially rising by about 40% if it breaks out.
ETF Summary
- S&P 500 (NYSE:SPY): 390 support with 405 closest resistance.
- iShares Russell 2000 ETF (NYSE:IWM): MA support around 184. 190 has to clear.
- Dow Jones Industrial Average ETF Trust (NYSE:DIA): 326 support 335 resistance.
- Invesco QQQ Trust (NASDAQ:QQQ): 284 big support 300 resistance.
- S&P Regional Banking ETF (NYSE:KRE): 65.00 resistance 61 support.
- VanEck Semiconductor ETF (NASDAQ:SMH): 228 support 240 pivotal 248 key resistance.
- iShares Transportation Average ETF (NYSE:IYT): 235 resistance as the best Mod Fam performer and 228 support.
- iShares Biotechnology ETF (NASDAQ:IBB): 125-130 new range.
- S&P Retail ETF (NYSE:XRT): 66-68 huge area to hold if the market still has legs.