Ticker tape by TradingView

Want Trade Alerts?

See all of our entries, exits, and analysis. 
Use code READER for 25% OFF!
Join VIP

August 19, 2021

Unemployment Claims Beat Expectations- Is The SPX500 A Buy Here?

Frank Cabibi

8/19/2021

Unemployment claims came in better than expected at 348K with the expectations of 362K, and last week's numbers were 377K. So from a jobs standpoint, the US looks strong, and this has led the Fed to start eyeing the potential tapering of bond assets by the end of this year. A major concern for most investors is still the looming fear of long term inflation coming in higher than expected by year end, and this has contributed to the sell off in recent days.

Our outlook

This is a very small pullback in the market compared to what analysts are fearing will happen, but I also think that this level is a strong one. Usually, the market starts running out of steam in September, and that is when you see larger pullbacks. I'm not saying that won't happen in August, but I do think that we still have some room to run in the meantime. I'm writing this a few minutes before open, so the market is hardly moving compared to when the trading day starts, but I do think that this level is worth considering. If the market pushes lower, we might not see any kind of bounce until $4271.

Trade Setups

SPX500

SPX500 on the1D chart is clinging to a rising trend line in the premarket which is also the index's 50-day moving average. This could serve as a strong level of support and take price back up to test the highs. If price crosses under this level, support lies around $4271.

NAS100

NAS100 is also hitting its 50 DMA and seemingly bouncing up from the lows on the 1D chart. A triple top at the $15,100s zone will be a tough level to break, but the index could come up to test it once more should price maintain above this moving average.

new trade alert

Join The VIP Community!
Our entries, exits & analysis
Live Webinar Coaching
Trading Chatrooms
Strategy Library 
Use Code "READER" for $5 OFF!
JOIN NOW

FREE broker quiz

Need Help Finding The Perfect Broker?
Take our broker quiz and find out your best broker match!
FIND A BROKER

free Trading PLan

Download Now
Create a Trading Plan Using Our FREE Template
DOWNLOAD
How Much Money Do You Need to Trade Forex?

One of the most common questions we hear from beginner traders is "How Much Money Do You Need to Trade Forex?" and our answer is: well, it depends. The amount of money you need depends on your goals as a trader. Is your goal to make a lot of money or are you going to […]

Read More
A USD Surge Is Coming

It is likely we see a USD surge in the near future as we get closer to the Fed meeting in March. Bond yields hit yearly highs this morning as the dollar begins to look stronger. A prominent "risk-off" attitude in the markets is showing now, and it looks like investors will be getting out […]

Read More
Bitcoin About To Catch Big Upside

Bitcoin has been vastly oversold due to the fact of regulation concerns from the US government wanting to make a more controlled market just like stocks. For over 2 months, the crypto has fallen nearly 42% from the highs in November, but it looks like it has found a bottom in the $39Ks. Why Bitcoin […]

Read More

Create a Trading Plan Using Our FREE Template

DOWNLOAD FREE
DISCLAIMER: All comments made by TraderNick’s Forex Group, LLC are for educational and informational purposes only. All comments should not be construed as investment advice regarding the purchase or sale of any securities or financial instrument of any kind. Please consult with your financial adviser before making an investment decision regarding any securities or financial instruments mentioned by TraderNick’s Forex Group, LLC. TraderNick’s Forex Group, LLC assumes no responsibility for your trading and investment results. All information on any of the platforms utilized by TraderNick’s Forex Group, LLC was obtained from sources believed to be reliable, but we do not warrant its completeness or accuracy, or warrant any results from the use of the information. TraderNick’s Forex Group, LLC, its employees, representatives, and affiliated individuals may have a position or effect transactions in the securities and financial instruments herein and or otherwise employ trading strategies that may be consistent or inconsistent with the provided strategies. Trading of any type involves very high risk and may not be suitable for all investors. TraderNick’s Forex Group, LLC, its subsidiaries and all affiliated individuals assume no responsibility for your trading and investment result. Read our full disclaimer here
linkedin facebook pinterest youtube rss twitter instagram facebook-blank rss-blank linkedin-blank pinterest youtube twitter instagram