Can a Sustainable Recovery Rally Happen Soon?
FP Trading Desk submits:
Both the S&P/TSX composite index and the S&P 500 have closed higher every day since hitting lows on Thursday, November 20. This is the first time either index has climbed four straight days or more since March 2008, when a string of up-days kicked off an rally that lasted into June, according to Ray Hanson, technical analyst at RBC Capital Markets.
“This past week’s action appears to be ushering in a sustainable intermediate rally as well,” he told clients. TSX data triggered a new buy signal on Friday’s close and corresponding signals for the S&P and Nasdaq 100 look set to register imminently, the analyst added.