This week it was all about Communication Services ( XLC ) with the positive earnings beat from Snap (SNAP) driving growth in many of the social platform company stock prices.
Finally, there is a bit of character change in the market. After several days of morning gains selling off in afternoon trading, the opposite happened on Thursday. A big morning loss that took the index below the 21d EMA was bought back in the afternoon to end the day with gains.
Wednesday was a continuation of Tuesday with an attempt to make gains that sold off in a choppy fashion throughout the rest of the day. After gaining 0.84%, the Nasdaq dropped to close with a -0.28% loss.
It was a choppy day with many moves back and forth. After being up 1.34% at one point in the day, the Nasdaq dropped in afternoon selling, ending the day with a 0.33% gain.
The stock market opened the week on a sour note on Monday. After being up 1% at open, the market quickly turned and trended downward the entire day. The Nasdaq finished the day -1.65% lower on higher volume.
The week brought some mixed signals. There were positives. Although it was disappointing to pull back from Monday’s highs, the market needed to settle back down from the accelerated gains of the last few weeks. There are some positive signs.
It was a back and forth week with Technology ( XLK ), Utilities ( XLU ) and Energy ( XLE ) all fighting for the top spot. Even Industrials ( XLI ) made a late effort to end the week at the top.
Just an interesting look at how value stocks have been left behind as money flows into presumably the growth stocks. That intuitively makes sense, but 2020 has been particular hard on value stocks. If you are a value investor, you must be shopping quite heavily now, knowing your day is coming.