Exchange traded funds tracking the S&P 500 and gold miner stocks are at critical junctures and a bit more momentum could propel the ETFs to further gains, a market analyst said Friday.
“Today the S&P 500 has risen above its 50-day exponential moving average following a teasing four day jaunt beneath it. The next hurdle to overcome is trendline resistance of a channel drawn down from the May 2 high,” said Tarquin Coe, technical analyst at Investors Intelligence, in a note to subscribers Friday.
SPDR S&P 500 ETF (NYSEArca: SPY) gained 0.4% Friday afternoon.
“Overcoming that level, with a close above it today, will leave the index well positioned for a rally from Tuesday. The two weeks following Memorial weekend are typically strong,” the analyst wrote.