4.12 Technical Chart Analysis

This article does not指示 or endorse trading timing or recommendations for buying and selling.

Please make your own investment decisions.

U.S. stocks ended the week at record highs for both the Dow and the S&P on a closing basis.

While trading value has continued to fall, there is a lack of selling activity as trading dries up.

In the near term, with earnings season approaching, it can be said that now is not the time to sell given the current environment.

The fundamentals in the United States remain very strong, and under the current conditions even with rising interest rates, there is unlikely to be a large decline.

In North America and elsewhere where vaccine rollout is progressing steadily, leisure and entertainment sector employment is also recovering, and the economy is clearly turning upward.

From solid employment statistics and economic indicators, that can be read as well.

However, when considering whether prices will rise significantly, the subdued trading activity indicates a wait-and-see mood ahead of earnings releases, and the trend is not suggesting a fall at this time.

With the decline of the VIX, volatility has become much lower compared to the past year.

After earnings announcements or during even calmer summer periods, the story may differ, but from a market-wide perspective, it is not a time to expect a decline.

On the other hand, although the Nikkei average has not shown robust economic conditions, it has started to hold steady, and if it can withstand the 30,000 yen level, a quick return to a steady uptrend is anticipated.

It has been gradually moving upward with a solid base and slowly rising from lows; the shorts are likely to be the ones feeling the pressure.