Major U.S. indices moved higher over the past week, bouncing back from the prior week’s declines. After positive jobs numbers and factory data, economists believe the economy may be in an upswing after the brutally cold winter. Retail sales and industrial production were also very positive earlier during the week, which all suggests positive momentum in place moving into the second quarter.

International markets followed U.S. indices higher over the past week. Japan’s Nikkei 225 rose 3.98%; Britain’s FTSE 100 rose 0.97%; and Germany’s DAX 30 rose 1.01%. In Europe, the economy remains stagnant in many regards, while investors worry about the Russian aggression in Ukraine. In Asia, Japan’s economic growth was cut modestly after its sales tax hike took a bit out of consumer spending.

The SPDR S&P 500 (ARCA:SPY) ETF rose 2.18% higher during the shortened trading week. After rebounding near 182.00 levels, the index moved past its S1 support and 50-day moving average to its pivot point at 186.33. Traders should watch for a move higher towards its R1 resistance at 189.71 or a move back down to its lower trend line at 182.00. Looking at technical indicators, the RSI appears neutral at 53.47 but the MACD could see a bullish crossover in the near-term.

The SPDR S&P 500 (ARCA: SPY) ETF rose 2.18% higher during the shortened trading week.

The SPDR Dow Jones Industrial Average (ARCA:DIA) ETF rose 2.20% during the shortened trading week. After falling just below its 50-day moving average and S1 support at 161.23, the index rebounded above its pivot point at 162.85. Traders should watch for a move to re-test its R1 resistance at 165.73, or a move back down to its S1 support and lower trend line at 161.23. Looking at technical indicators, the RSI appears neutral at 54.54, but the MACD could see a bullish crossover.

The SPDR Dow Jones Industrial Average (ARCA: DIA) ETF rose 2.20% during the shortened trading week.

The PowerShares QQQ (NASDAQ:QQQ) ETF rose 1.95% during the shortened trading week. After breaking below its lower trend line support and its S1 support at 85.66, the index touched S2 support at 83.66 before rebounding. Traders should watch for a breakout higher from its lower trend line at 87.00 or a move lower to re-test its S3 support at 83.66. Looking at technical indicators, the RSI is modestly oversold at 45.61 and the MACD looks like it could experience a bullish crossover.

The PowerShares QQQ (NASDAQ: QQQ) ETF rose 1.95% during the shortened trading week.

The iShares Russell 2000 (NYSE:IWM) ETF rose 1.53% during the shortened trading week. After rebounding from its lower trend line and S2 support at 110.19, the index moved up to its S1 support at 113.26. Traders should watch for an ongoing rebound towards its 50-day moving average at 115.49 or pivot point at 116.77. Looking at technical indicators, the RSI appears oversold at 44.61, although the MACD remains in a bearish downtrend.

The iShares Russell 2000 (NYSE: IWM) ETF rose 1.53% during the shortened trading week.

Summary

The major U.S. indices moved higher over the past week, although RSI indicators suggest a bit of indecisiveness in terms of future direction. Next week, traders will be watching a number of key economic indicators for insights into future direction, including existing home sales on April 22nd, new home sales on April 23rd, and jobless claims/durable goods orders on April 24th.

Charts courtesy of StockCharts.com.

Disclosure - At the time of writing, the author did not own shares of any company mentioned in this article.

Related Articles
  1. Chart Advisor

    ChartAdvisor for April 11 2014

    Weekly technical summary of the major U.S. indices.
  2. Chart Advisor

    ChartAdvisor for April 4 2014

    A technical summary of the major U.S. indices.
  3. Chart Advisor

    ChartAdvisor for March 27 2014

    Technical summary of the major U.S. indices.
  4. Chart Advisor

    ChartAdvisor for March 21 2014

    A technical summary of the major U.S. indices.
  5. Chart Advisor

    ChartAdvisor for March 13 2014

    Summary of the major U.S. indices.
  6. Active Trading Fundamentals

    4 Stocks With Bullish Head and Shoulders Patterns for 2016 (PG, ETR)

    Discover analyses of the top four stocks with bullish head and shoulders patterns forming in 2016, and learn the prices at which they should be considered.
  7. Chart Advisor

    Uptrending Stocks Dwindle, a Few Remain (EW, WEC, WR)

    The number of uptrending stocks is shrinking, but here a few that remain in uptrends.
  8. Chart Advisor

    Trade Setups Based on Descending Trend Channels (LBTYK, RRC)

    These descending trend channels have provided reliable sell signals in the past, and are giving the signal again.
  9. Chart Advisor

    How Are You Trading The Breakdown In Growth Stocks? (VOOG, IWF)

    Based on the charts of these two ETFs, bearish traders will start turning their attention to growth stocks.
  10. Mutual Funds & ETFs

    Pimco’s Top Funds for Retirement Income

    Once you're living off the money you've saved for retirement, is it invested in the right assets? Here are some from PIMCO that may be good options.
RELATED FAQS
  1. What is Fibonacci retracement, and where do the ratios that are used come from?

    Fibonacci retracement is a very popular tool among technical traders and is based on the key numbers identified by mathematician ... Read Full Answer >>
  2. Should mutual funds be subject to more regulation?

    Mutual funds, when compared to other types of pooled investments such as hedge funds, have very strict regulations. In fact, ... Read Full Answer >>
  3. Do ETFs pay capital gains?

    Exchange-traded funds (ETFs) can generate capital gains that are transferred to shareholders, typically once a year, triggering ... Read Full Answer >>
  4. How do real estate hedge funds work?

    A hedge fund is a type of investment vehicle and business structure that aggregates capital from multiple investors and invests ... Read Full Answer >>
  5. Are Vanguard ETFs commission-free?

    While some Vanguard exchange-traded funds (ETFs) are available commission-free from third-party brokers, a large portion ... Read Full Answer >>
  6. Do Vanguard ETFs require a minimum investment?

    Vanguard completely waives any U.S. dollar minimum amounts to buy its exchange-traded funds (ETFs), and the minimum ETF investment ... Read Full Answer >>
COMPANIES IN THIS ARTICLE
Trading Center