12/15/22H Uptrend – Yikes! Nasdaq -3.2%, S&P500 -2.5% Uptrend under PRESSURE

12/15/22H  Uptrend – Yikes! Nasdaq -3.2%, S&P500-2.5%  Uptrend under PRESSURE

THE MARKET’s MESSAGE:  Warning! Bumpy road ahead!

When you look at Thursday’s3.2% drop in the Nasdaq, does it help to know that individual stocks and indexes typically fall faster than they rise?

Do note that the Nasdaq stayed above it’s 50-day line for over 4 weeks before it fell below that common support level on Thursday.

The market pulled broadly back amid murmurs of a Fed Funds rate as high has 5.75% next year with this comment, “Inflation must be brought under control,” and a forecast of 4.1% in 2025.

More bad news came in this morning when Ed Carson of Investor’s Business Daily added a comment that the Nasdaq, S&P500 and DJIA futures have fallen “solidly.”  Not an encouraging evaluation. This would be agood time to evaluate the stocks you are holding.

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The percent of stocks with Aor B rating is off its high of 2 weeks ago, but still very encouraging!

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Note the increase in yellow boxes on the MARKET FACTORS table. This points to weakness in the market.

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On the MARKET ACTION OVER THE LAST 20 DAYS table below, the Nasdaq had its first accumulation day (when price andvolume rose) in 2 weeks. Now I look for the market to show me more!

Note: A RED highlighted index Price indicates a NEW LOW  during these 20 days.

A GREEN  highlighted index Price indicates a NEW HIGH  in these 20 days.

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NOTE: Today's newsletter is a bit short due to another commitment of mine last night. My Rotary club celebrated the 100th birthday of a World War II hero, Lieutenant CC Collie, Jr., USN, Retired!!!

Don't forget to recognize the heroes in your lives!

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STOCK WATCHING:  Send your suggestion on which stock to followin this newsletter.  I am looking forjust one stock at a time, for training purposes.

Wishingyou and yours a happy and safe holiday season.

Charlotte Hudgin, The ArmchairInvestor,   (214)995-6702

www.ArmchairInvestor.com   (214)995-6702   editor@armchairinvestor.com

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