Although markets continued their push higher, our model scores are starting to weaken slightly. Large Caps are beating their smaller-sized counterparts while domestic markets have stronger scores than foreign markets. Beneath the surface, we are seeing strength out of Energy and Industrials.
This Week on Wall Street - Week of July 31st
Market Commentary
Although markets continued their push higher, our model scores are starting to weaken slightly. Large Caps are beating their smaller-sized counterparts while domestic markets have stronger scores than foreign markets. Beneath the surface, we are seeing strength out of Energy and Industrials.
It is a busy week on the economic data front, especially concerning the labor market. The key report investors will be watching is the Friday jobs report. Investors are climbing the wall of worry on concerns of an earnings recession on higher hopes of a soft landing. Two major heavyweights, Apple and Amazon, report earnings this week.
What is Newton?
Our Newton model attempts to determine the highest probability of future price direction by using advanced algorithmic and high-order mathematical techniques on the current market environment to identify trends in underlying security prices. The Newton model scores securities over multiple time periods on a scale of 0-20 with 0 being the worst and 20 being the best possible score. Trend & level both matter.
Economic Releases This Week
Monday: Fed Senior Loan Survey
Tuesday: ISM Manufacturing, Job Openings, Construction Spending
Wednesday: ADP Employment
Thursday: Initial & Continuing Jobless Claims, ISM Services
Friday: Jobs Report
Technical trading models are mathematically driven based upon historical data and trends of domestic and foreign market trading activity, including various industry and sector trading statistics within such markets. Technical trading models, through mathematical algorithms, attempt to identify when markets are likely to increase or decrease and identify appropriate entry and exit points. The primary risk of technical trading models is that historical trends and past performance cannot predict future trends and there is no assurance that the mathematical algorithms employed are designed properly, updated with new data, and can accurately predict future market, industry and sector performance.