U.S. stocks slipped Monday, dragged down by losses across everything from technology shares to retail stocks. A string of blue-chip companies are scheduled to report earnings this week and will offer a view on businesses’ expectations for the pace of economic revival. Money managers are looking to gauge whether stocks’ high valuations are justified after the Dow and S&P 500 hit closing records last week.
Since mid November 2020, the S&P 500 futures have developed a bullish Ascending Broadening Wedge pattern. According to this formation, one can expect the S&P500 to ‘re-test’ 4000 area in May, which can act as confirmation of this pattern and hence provide another powerful Buy signal.
Ascending Broadening Wedge