Market Momentum Short-Term Update for 7/7/21

The Dow and S&P 500 continue to diverge from the NASDAQ, turning lower on Tuesday while the tech-heavy index pushed slightly higher yet again.

S&P 500
SPY (standard ETF) dropped quickly in the morning but then rebounded, ending the day down only 0.18%. It remains positive above $427.95. Investors should be very careful here, as it’s stretched very far to the upside and could reverse soon.
SH (inverse ETF) rose 0.33% but remains negative below $15.40. Investors could hold if not stopped out or buy when it reaches neutral.

Gold did the opposite of stocks, shooting higher in the morning but then cooling off.

Gold
GLD (standard ETF) gapped higher on Tuesday’s opening but gave investors a chance to buy as it returned and bounced just above neutral, finishing the day up 0.5%. It remains positive above $167.40. Investors could still buy near neutral with a stop loss at $164.

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