There is nothing more difficult than trying to catch major turns in the S&P 500 index futures. On most occasions, you are not going to be right, or notwithstand the shakeout before the turn actually takes place.
For now, we can recap the price action for today and use it as up-to-date information in order to determine the state of the rally.
After a great reaction to the latest rate hike by the Federal Reserve Bank on Wednesday, investors gave a thumbs up to Meta Platforms’ (NASDAQ: META) mixed Q4 report. As the issue launched into orbit, it dragged all mega cap technology and growth issues along for the ride.
As a result, the index was never red during the premarket or regular session. When the bears failed to incite a major decline early in the session, the bulls feasted on any offers. That enabled the index to revisit its mid-September and mid-December highs.
With the looming major earnings reports and Friday’s job number, there was a small round of profit taking into the close. The bottom line, the index posted a new high for the rebound by adding 59.25 handles to close at 4191.50. Unfortunately, the next opening print was much lower at 4176.
The biggest winner of the top components was Amazon.com Inc. (NASDAQ: AMZN). For the session, the issue added $7.76 or 7.4% to close at $112.91. It should be noted that the issue backed off that level immediately following its Q4 report and is attempting to rebound.
That gain far exceeded the cash index’s advance of 1.43%.
The biggest loser of the top components was UnitedHealth Group Inc. (NYSE: UNH). For the session, the issue declined by $26.17 or 5.27% to close at $470.83.
