After a morning drop on poor economic data, the now impervious dip buyers showed up again pushing stocks up, up, up to close ’em near the highs of the day. We are in the midst of yet another V shaped rally and at this point it has become the expectation rather than the exception. The S&P 500 added 0.58% and the NASDAQ 0.94%.
Sales at U.S. retailers fell sharply in January and the final two months of 2013 turned out weaker than initially reported, offering more evidence the economy may have softened toward the end of the year. Sales tumbled a seasonally adjusted 0.4% last month, the Commerce Department said Thursday. Economists had expected a 0.1% drop. What’s more, an originally reported increase in sales in December was wiped out to show a small decline. The increase in sales in November was also trimmed a notch.
Having some fun with the NASDAQ chart we placed 3 blue arrows signifying “up up and away!”
We are now back to clearly overbought on the NYSE McClellan Oscillator just over a week after being oversold.
If you are wondering which groups have led the chart we can see the technology and healthcare sectors (of which biotechnology is a subsector) have been the 2 at the top of the standings; both are at or near highs even as the indexes are not there yet.
We had mentioned Chinese online discount retailer Vishop Holdings (VIPS) a few weeks ago; it held up reasonably well during the correction and today blasted out of this range.
We showed the gold and silver chart a few days ago; it is interesting to see the gold miners also acting better in 2014; here is their ETF.