By. Markus Heitkoetter
It was a special day for the S&P and DOW with both indices closing at new all-time highs.
The S&P ended 10 points higher with a new record close of 2011.36. The DOW ended the day 109 points higher with a new all-time high close of 17265.99.
Today’s move higher was fueled by lower than expected jobless claims (a decrease by 36,000), and a continued reaction to yesterday’s Fed Statement and the decision to keep rates low for a “considerable time”.
Tomorrow is known as “quadruple witching” when 4 asset classes expire on the same day (stock index futures, stock index options, stock options, and single stock futures). In the past quadruple witching day was known for its volatility. But over the years ranges on expiration day tend to be smaller than average.
The big news tomorrow will be the IPO of Alibaba. Will the IPO end up being the biggest IPO in U.S. history?
Financial stocks outperformed today with Gold Sachs Group (GS) making a new 52 week high. GS ended the day 1.66% higher at $187.89.
It’s a bit late to jump aboard this rally without a pullback or change of direction since we had a Power Crossover Method Buy Signal back on 21st Aug 2014 at $174.25.