Reflecting On Last Week
Dow Tops 44,000 as Stocks Recover Ahead of Thanksgiving
U.S. stocks rallied ahead of Thanksgiving, with the Dow Jones Industrial Average gaining 1% on Friday to close at a record high of 44,296.51. The S&P 500 and Nasdaq also posted strong performances, closing at 5,969.34 and 19,003.65, respectively. For the week, the Dow climbed 2%, while the S&P 500 and Nasdaq each rose 1.7%, reversing the previous week’s losses.
Bitcoin Less Than $1K Shy of Historic $100K Mark
Bitcoin is edging closer to the $100,000 mark, driven by institutional interest, supportive policies from the Trump administration, and innovative products like ETFs. Companies such as MicroStrategy and BlackRock continue to boost demand, while new derivatives markets help manage volatility. This milestone, if achieved, could redefine Bitcoin’s role in mainstream finance. (Reuters)
Nvidia’s Solid Forecast Fails to Impress Wall Street Bulls
Nvidia reported better-than-expected third-quarter results, but its guidance failed to fully meet market expectations, leading to a 3.2% drop in its stock price to $141.95 on Friday. Analysts pointed to supply constraints and unmet “bullish whispers” as reasons for the cautious outlook. Despite this, optimism remains strong for Nvidia’s AI chip growth, particularly with its Blackwell production ramping up. Analysts see the stock as a long-term buy on dips. (Investors)
The Week Ahead: Events to Watch
The upcoming holiday week in the U.S. will bring several important economic updates. Highlights include FOMC meeting minutes, PCE inflation data, personal income and spending figures, and a revised Q3 GDP estimate. Investors will also watch consumer confidence, durable goods orders, and the S&P/Case-Shiller Home Price Index.
Globally, inflation data from Australia, Germany, France, and Italy will draw attention, alongside GDP figures from Turkey, Switzerland, India, and Canada. Germany will also release unemployment, retail sales, and confidence data.
Mental Mastery Message of the Week
“The key to trading success is emotional discipline. If intelligence were the key, there would be a lot more people making money trading.” – Victor Sperandeo
Levels On Our Radar This Week
S&P 500
The index found support in the bullish daily fair value gap we outlined last week and posted a five-day green week. We’ll monitor if this level holds as support to boost us to all-time highs next week, though with the Thanksgiving holiday, reaching new highs next week seems unlikely.
XAU/USD (Gold)
Gold quickly rebounded last week, finding support at the weekly FVG highlighted in last week’s outlook. This safe-haven asset posted a flawless green week and looks set to challenge all-time highs, provided the 3D bullish FVG sustains momentum after any retracements.
EUR/USD
As anticipated, the 3D bearish FVG guided price action to the last yearly low, where bears dominated to close the week. With the target achieved, attention now turns to next week’s movements to assess whether the market will continue it s trend, reverse, or enter a phase of accumulation. However, volatility may taper as the year-end approaches.
