Finally a green day!

After six straight trading days of losses, stocks and the major indexes closed mostly in the green today. Final numbers – The Dow +75.42 (chart), Nasdaq +9.49 (chart), S&P 500 +9.44 (chart) and the Russell 2000 +4.60 (chart).

The pundits are claiming that today’s upbeat market sentiment is due to a report that U.S. exports hit a record in April. However, I suspect it was a relief rally caused by more than a week of selling pressure. I also suspect that the downside to the 200-day moving averages (blog) of the key indexes are still a potential. Let’s see if there is a meaningful follow-through to the upside tomorrow, which could be a positive set up ahead of next week’s quadruple witching. Quadruple witching is a market event that occurs four times per year in which options and futures expire. This quarterly event can also create an increase in volatility in the overall markets.

Have a good evening.