Monday, August 26, 2019

IBD: "The Upside Of A Sideways Stock Market Rally"

From Investor's Business Daily:
5:51 pm EDT
...By itself, Monday's stock market action wasn't that meaningful. But continued sideways action will let leading stocks such as Microsoft (MSFT) and Starbucks (SBUX) finish off new bases and creating new buy points....

... The Upside Of A Sideways Stock Market Rally
The 50-day moving average is a key test for the stock market rally. All three major averages are below that technical level, with the Nasdaq hitting resistance there a few times.
There is one positive for the stock market rally's current struggles. It's giving leading stocks a chance to form new bullish consolidations. The stock market peaked on July 26, just over three weeks ago. That's not long enough for new bases to form.

Starbucks stock, the IBD Stock Of The Day, is in the fifth week of a potential flat base, which requires a minimum of five weeks. So is Microsoft stock. So are a number of other top stocks....

4:26 pm EDT
Market Bulls Run Again On Renewed Trade Deal Optimism; Apple, Facebook Pop

Earlier: See chart in August, An Interesting Month to Trade or "We Don't Need No Stinkin' parachute"