Stock Market Rebound Continues

Market Does Not Pay Attention to New Tariffs

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Today we will be covering...

  • Today, we will examine SPX Hurst cycles analysis.

  • ISM Services PMI fell to 50.1 in July from 50.8 in June, just above the boundary between growth and contraction.

  • The employment component of the index contracted for a second month, even as new orders and business activity stayed positive.

  • The unemployment rate ticked up to 4.2. 258K jobs were erased by May and June revisions.

Amazon’s Straddled Cycle Peak

  • Amazon (AMZN), one of the Magnificent 7, has a negative cyclic outlook. 

  • The upper chart shows the dominant 3.5Y cycle, which we also observed in some other stocks and market indices.

  • It is yet another example of price not peaking simultaneously with the dominant cycle.

  • The lower chart shows the cycle composite of the 3.5Y cycle and 38W cycle, which is also relatively significant.

  • Although, it is always useful to look at individual cycles, it is also important to look at the cycle composite of multiple dominant and stable cycles.

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