By Markus Heitkoetter
Just two weeks ago the markets made new all time highs.
But last week was a tough week for stocks.
On Thursday it looked like the markets were headed for their worst weekly loss of the year. But an impressive end of week rally lifted the S&P on Friday, and the S&P closed the session with a 17 point gain. The rally helped, but the S&P still ended the week with a 27.55 point 1.37% loss.
In one of the most volatile weeks of the year the DOW moved 100 points or more on every single day of the week. The DOW ended the week 167 points lower, down 1%.
September has always been a tough month for stocks.
The DOW has lost an average of .8% in the month of September going back to 1950.
But as things currently stand, the DOW is in positive territory for the month, up .09%.
There are two events to watch this week:
It’s the end of Q3, and usually we see some “portfolio balancing” in the last week of a quarter.
On Friday, Unemployment Claims will be released.
Will these two events help the Dow beat the average and finish the month with a profit? – One thing is for sure: We’re in for another volatile week.
Janus Capital (JNS) jumped 43% on Friday after it was announced that Bill Gross, the world’s most famous bond investor, will join Janus after leaving PIMCO.
With a Sell Signal at $11.83, Power Crossover Method traders had an opportunity to close a short position at the ADR Profit Target of $11.21 before this massive gap higher.