Hello traders everywhere! Adam Hewison here, President of INO.com and Co-creator of MarketClub, with your mid-day market update for Friday, the 17th of May.
Tesla Soars As Excitement Builds For Electric Cars
This week, Tesla Motors (NASDAQ:TSLA) soared as investors rushed into buying shares of America's only electric car company. Shares of Tesla jumped 19.72% for the week as of this writing and are closing in on new high ground. Of course, this must make Elon Musk and investors in this stock very, very happy. You may want to take a look at my earlier video on Tesla (NASDAQ:TSLA) here.
Gold Loses Big Time This Week
The price of gold plummeted this week with losses of over 5% as investors jumped out of this once precious metal and into US and Japanese stocks. If gold closes where it is currently trading at $1,363 on the spot market, it will represent a new low weekly close for the year. Such a close would indicate further downside pressure for this metal. Technically, we cannot rule out a test of the $1300 level.
Did You See LULU?
You can watch it here.
Apple Is No Longer Cool 🙁
It looks like the mojo has changed for Apple (NASDAQ:AAPL). In a recent survey, 71% of investors said that Apple has lost its innovative edge. That viewpoint was largely reflected this week in stock prices with Apple closing down over 4%. Google (NASDAQ:GOOG) on the other hand, ended up closing up 3.3%, a changing of the guard perhaps. The trend is clearly positive for Google and sideways to lower for Apple.
Everybody Wants US Dollars!
For this past week, the US Dollar has proven to be the currency of choice. Most other currencies lost ground in active trading. For the week, the Dollar gained 1.3% against the Euro, 1.3% against the Japanese Yen, and a whopping 2.8% against the Aussie Dollar. I see these trends continuing and would not rule out setbacks, but the trend is clearly established in favor of the US Dollar right now.
The Stock Market Makes New Highs - So What Else Is New?
In spite of all the Washington wrangling over the IRS, Benghazi and the FBI, stock market managed to put in a solid performance for the week. The S&P 500 is closing up 1.4%, the NASDAQ a similar amount of the DOW with a gain of just over 1%. As I have said before, standing in front of the train or catching a falling knife in the market is not a good idea right now. The old adage of "sell in May and go away" may still work, but I wouldn't count on it. I would only count on our Trade Triangle technology to tell us what is going to happen.
Have a great trading day,
Adam appears frequently on the following financial news channels as a guest expert. Click on any cable logo to watch Adam's latest appearance.