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Stock market decimated rally and S&P 500 made new intraday bear market - May 20, 2022
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The stock market conditions seem to be deteriorating - February 18, 2022
The stock market is trying to rebound after Russia invades Ukraine - February 25, 2022
The stock market may be looking to test the bottom soon - March 4, 2022
The stock market made a closing low this week - March 11, 2022
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The stock market took a breather this week - April 1, 2022
The stock market conditions deteriorated this week - April 8, 2022
The stock market conditions continue to deteriorate this week - April 15, 2022
Was the recent rally since March 14 bottom a bear market rally? - April 22, 2022
Nasdaq and Russell 2000 confirmed bear market rally - April 29, 2022
Is stock market showing signs of bottoming? - May 6, 2022
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The market rally took a pause this week - June 3, 2022
Is this another bear market rally? - June 10, 2022
Bear market continues as stock market indices made new low - June 17, 2022
The stock market show signs of improvements - June 24, 2022
This has been a disappointing week for the stock market - July 1, 2022
The stock market rebound strongly this week - July 8, 2022
The stock market is stuck in a trading range - July 15, 2022
The stock market breaks out - July 22, 2022
Why is stock market bullish today, or is it going to turn bearish soon
Is stock market ready for a pause or will it continue this rally? - August 5, 2022
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Stock market decimated rally and S&P 500 made new intraday bear market - May 20, 2022
What happen to the market this week?
Stock market decimated rally on Wednesday and make new intraday low on Friday. On Tuesday, the major indices hold a powerful rally. However, earnings news from Target and Walmart are disappointing and confirmed lower consumer spending in big ticket items.
The major indices turn in more losses this week.
Index | May. 20 |
Nasdaq | -3.82% |
S&P 500 | -3.05% |
Dow Jones | -2.90% |
Russell 2000 | -1.08% |
Is stock market showing signs of bottoming?
S&P confirmed a peak to trough bear market with over 20% correction at least from intraday perspective. On Thursday, S&P 500 was hesitant to undercut last week's low on May 12. That is a good sign. On Friday, S&P 500 did finally undercut that level but was able to recover above that level by end of day. This may also be another good sign of support near this level.
2021-2022 Correction | |
Nasdaq (since Nov 22, 2021) | -31.93% |
S&P 500 (since Jan 4, 2022) | -20.93% |
Dow Jones (since Jan 5, 2022) | -17.09% |
Russell 2000 (since Nov 8, 2021) | -30.82% |
Another good sign is that the Advance/Decline line on both NASDAQ and NYSE did not make a new low this week. This is divergence from the S&P 500 which make a new low. This divergence signifies that more stocks in general may be less willing to sell off.
Russell 2000 is the only index that didn't make a new low. This is also a good sign that at least the small caps may have a new possible trend upward.
What is the current support level?
All the indices fell further below its 50 days moving average. This is a bearish sign.
- NASDAQ - below its 50 days moving average line near 13000; current at 11354
- S&P 500 - below its 50 days moving average line near 4380; current at 3901
- DJIA - below its 50 days moving average line near 34100; current at 30635
- RUSSELL 2000 - below its 50 days moving average line near 2010; current at 1773
Psychological levels
- Nasdaq is below 12000.
- S&P 500 is now below 3900.
- Dow Jones Industrial Average is now below 31000.
- Small cap Russell 2000 is below 1800.
Stock market breadth - Accumulation vs Distribution for this week:
Accumulation | Distribution | |
#industry groups | 40 | 84 |
#stocks | 154 | 384 |
The market uptrend has deteriorated significantly as there continues to be more distribution than accumulation in recent weeks.
Check out our course How to measure or calculate stock market breadth.
Which stocks from each industry group show strength?
Sector | Industry | Sub-group | # | Stocks |
Technology | Technology | Computer Software: Prepackaged Software (Special) | 4 | AI, BL, LSPD, VRRM |
Technology | Technology | Computer Software: Prepackaged Software (Database) | 2 | NTCT, OTEX |
Technology | Technology | Computer Software: Prepackaged Software (Design) | 2 | CDNS, SNPS |
Technology | Technology | Computer Software: Prepackaged Software (Enterprise) | 6 | AZPN, BLKB, DOCN, DT, FROG, TRMR |
Technology | Technology | Computer Software: Prepackaged Software (Financial) | 3 | FICO, QTWO, SSNC |
Technology | Technology | EDP Services (Gaming) | 2 | EA, SCPL |
Technology | Technology | Computer Software: Prepackaged Software (Security) | 1 | FTNT |
Technology | Technology | EDP Services (Integrated System) | 1 | AGYS |
Technology | Technology | Computer Communications Equipment | 2 | CAMP, SWIR |
Technology | Technology | EDP Services (Tech Services) | 1 | GIB |
Technology | Technology | Semiconductors | 2 | AOSL, LSCC |
Technology | Technology | Semiconductors (Manufacturing) | 4 | ADI, CTS, MX, QRVO |
Technology | Technology | Computer Software: Programming, Data Processing (Content) | 1 | PINS |
Technology | Public Utilities | Telecommunications Equipment (Foreign) | 1 | VOD |
Technology | Technology | Radio And Television Broadcasting And Communications Equipment | 1 | VOXX |
Retail | Consumer Non-Durables | Shoe Manufacturing | 1 | WWW |
Retail | Capital Goods | Auto Parts:O.E.M. (Equipment) | 1 | INVZ |
Retail | Consumer Non-Durables | Beverages Non-Alcoholic (Production/Distribution) | 2 | CELH, KOF |
Retail | Consumer Non-Durables | Consumer Electronics/Appliances | 1 | HEAR |
Retail | Consumer Services | Other Consumer Services | 1 | TEDU |
Retail | Consumer Non-Durables | Package Goods/Cosmetics | 1 | OLPX |
Retail | Consumer Non-Durables | Meat/Poultry/Fish | 1 | PPC |
Retail | Consumer Durables | Office Equipment/Supplies/Services | 1 | PRPL |
Retail | Consumer Services | Consumer Electronics/Video Chains | 2 | AVID, IQ |
Retail | Consumer Services | Marine Transportation | 1 | MSGS |
Retail | Miscellaneous | Business Services | 1 | MMYT |
Retail | Consumer Services | Television Services | 2 | PARA, TV |
Retail | Consumer Services | Newspapers/Magazines | 1 | NYT |
Retail | Consumer Services | Television Services | 3 | AMCX, GTN, SBGI |
Retail | Consumer Durables | Automotive Aftermarket | 1 | DRVN |
Retail | Consumer Services | Clothing/Shoe/Accessory Stores | 1 | FL |
Retail | Consumer Services | Other Specialty Stores | 1 | SNBR |
Retail | Consumer Services | Restaurants | 1 | ARCO |
Retail | Transportation | Air Freight/Delivery Services | 1 | RYAAY |
Industrial | Consumer Durables | Building Products | 3 | GFF, PGTI, WMS |
Industrial | Capital Goods | Engineering & Construction | 2 | GVA, MTZ |
Industrial | Finance | Diversified Commercial Services | 2 | MYRG, ROL |
Industrial | Basic Industries | Major Chemicals: Plastics | 1 | TG |
Industrial | Basic Industries | Major Chemicals: Others | 6 | CC, CNEY, FUL, LTHM, OEC, SOI |
Industrial | Technology | Advertising | 2 | QNST, TTD |
Industrial | Miscellaneous | Business Services (Market Research) | 2 | SPGI, TRI |
Industrial | Consumer Durables | Metal Fabrications | 1 | ABB |
Industrial | Capital Goods | Fluid Controls | 2 | DXPE, ERII |
Industrial | Basic Industries | Aluminum | 1 | MLI |
Industrial | Basic Industries | Environmental Services | 1 | CECE |
Industrial | Consumer Services | Diversified Commercial Services | 1 | ALRM |
Industrial | Consumer Services | Marine Transportation | 5 | DSX, GOGL, GRIN, SBLK, ZIM |
Industrial | Public Utilities | Power Generation | 3 | CPK, NRG, WEC |
Industrial | Basic Industries | Electric Utilities: Central | 2 | POR, TAC |
Health | Health Care | Major Pharmaceuticals | 8 | ARWR, CNCE, DVAX, EBS, GMAB, HALO, SGEN, TWST |
Health | Health Care | Major Pharmaceuticals (Diversified) | 2 | GSK, LLY |
Health | Health Care | Major Pharmaceuticals (Ethical Drugs) | 2 | MRK, NVS |
Health | Health Care | Major Pharmaceuticals (Generic Drugs) | 3 | PRGO, RDY, TEVA |
Health | Health Care | Medical/Nursing Services | 1 | AHCO |
Health | Health Care | Medical/Dental Instruments | 5 | COO, HSKA, INSP, LMAT, TFX |
Health | Health Care | Biotechnology: Commercial Physical & Biological Research | 2 | A, FLGT |
Health | Health Care | Medical Specialities (Services) | 1 | DGX |
Health | Health Care | Medical Specialities (Supplies) | 1 | ELAN |
Health | Health Care | Biotechnology: Electromedical & Electrotherapeutic Apparatus | 4 | HAE, HOLX, IDXX, MASI |
Commodities | Consumer Services | Farming/Seeds/Milling | 1 | CTVA |
Commodities | Basic Industries | Agricultural Chemicals | 2 | AVD, SQM |
Commodities | Energy | Industrial Machinery/Components | 1 | AQN |
Commodities | Technology | Semiconductors (Solar) | 2 | ARRY, SHLS |
Commodities | Energy | Oilfield Services/Equipment | 1 | NR |
Commodities | Energy | Integrated oil Companies | 1 | SHEL |
Commodities | Energy | Integrated oil Companies | 1 | UGP |
Commodities | Energy | Oil & Gas Production (Royalty Trust) | 2 | PBT, SBR |
Commodities | Energy | Natural Gas Distribution | 3 | EPD, NVGS, STNG |
Commodities | Energy | Oil & Gas Production (U.S.) | 2 | CHK, DVN |
Financial | Finance | Major Banks (Northeast) | 1 | INDB |
Financial | Finance | Major Banks (West) | 1 | PB |
Financial | Finance | Finance: Consumer Services | 2 | SLM, SOFI |
Financial | Miscellaneous | Business Services | 1 | DLO |
Financial | Finance | Investment Bankers/Brokers/Service | 3 | CS, MC, OPY |
Financial | Finance | Investment Managers | 1 | VRTS |
Financial | Consumer Services | Real Estate Investment Trusts | 1 | UWMC |
Financial | Consumer Services | Real Estate Investment Trusts | 1 | CCI |
Financial | Consumer Services | Other Consumer Services (Specialty) | 2 | ENV, MSCI |
Financial | Finance | Life Insurance | 2 | AEL, PUK |
Financial | Finance | Property-Casualty Insurers | 3 | EIG, HMN, PGR |
Which stocks from each industry group show weakness?
Sector | Industry | Sub-group | # | Stocks |
Technology | Technology | Computer Software: Prepackaged Software (Special) | -2 | SPSC, YEXT |
Technology | Technology | Computer Software: Prepackaged Software (Database) | -1 | CVLT |
Technology | Technology | Computer Software: Prepackaged Software (Design) | -2 | APPN, PDFS |
Technology | Technology | Computer Software: Prepackaged Software (Education/Media) | -2 | ARCE, DUOL |
Technology | Technology | Computer Software: Prepackaged Software (Enterprise) | -10 | APPS, AVYA, CDLX, CRM, NET, NTNX, SHOP, SMAR, SNOW, WDAY |
Technology | Technology | Computer Software: Prepackaged Software (Financial) | -1 | PEGA |
Technology | Technology | EDP Services (Medical) | -2 | GDRX, MDRX |
Technology | Technology | Computer Software: Prepackaged Software (Security) | -3 | INVE, OKTA, STER |
Technology | Technology | Electronic Components | -2 | PSTG, STX |
Technology | Technology | Computer Manufacturing | -3 | CRCT, DELL, TACT |
Technology | Technology | Computer Communications Equipment | -2 | CSCO, JNPR |
Technology | Technology | EDP Services (Tech Services) | -5 | CLSK, CTSH, HPE, IBM, TWKS |
Technology | Technology | Semiconductors | -3 | AVGO, MXL, NVDA |
Technology | Technology | Semiconductors (Equip) | -2 | AEIS, AMAT |
Technology | Technology | Semiconductors (Manufacturing) | -1 | TSEM |
Technology | Technology | Computer Software: Programming, Data Processing (Content) | -1 | KIND |
Technology | Technology | EDP Services | -2 | FFIV, TCX |
Technology | Technology | Radio And Television Broadcasting And Communications Equipment | -1 | AAPL |
Technology | Consumer Durables | Telecommunications Equipment | -1 | CIEN |
Technology | Technology | Radio And Television Broadcasting And Communications Equipment | -1 | NOK |
Retail | Consumer Services | Clothing/Shoe/Accessory Stores | -12 | COLM, CPRI, CRI, FIGS, GIL, HBI, KTB, RL, UA, UFI, VRA, VSCO |
Retail | Consumer Non-Durables | Shoe Manufacturing | -2 | CROX, SHOO |
Retail | Capital Goods | Auto Manufacturing | -2 | GM, TSLA |
Retail | Capital Goods | Auto Parts:O.E.M. (Equipment) | -1 | APTV |
Retail | Capital Goods | Auto Parts:O.E.M. (Parts) | -2 | DORM, SMP |
Retail | Consumer Non-Durables | Beverages Alcoholic (Production/Distribution) | -3 | MGPI, STZ, TAP |
Retail | Consumer Non-Durables | Beverages Non-Alcoholic (Production/Distribution) | -2 | FIZZ, KO |
Retail | Consumer Durables | Specialty Chemicals | -2 | CENTA, ENR |
Retail | Consumer Non-Durables | Package Goods/Cosmetics | -5 | ELF, HELE, MED, PG, REV |
Retail | Capital Goods | Industrial Machinery/Components | -2 | GLW, ZBRA |
Retail | Consumer Non-Durables | Specialty Foods | -4 | HSY, MDLZ, SMPL, TR |
Retail | Consumer Non-Durables | Packaged Foods | -1 | ADM |
Retail | Consumer Non-Durables | Meat/Poultry/Fish | -3 | CALM, HRL, TSN |
Retail | Consumer Services | Catalog/Specialty Distribution | -2 | JBSS, MKC |
Retail | Consumer Non-Durables | Packaged Foods | -13 | BGS, CAG, CPB, FRPT, GIS, HAIN, K, KHC, LANC, PEP, SJM, TWNK, UTZ |
Retail | Consumer Non-Durables | Plastic Products | -3 | NWL, TUP, WBT |
Retail | Consumer Services | Hotels/Resorts (Gaming) | -1 | CHDN |
Retail | Consumer Services | Hotels/Resorts (Lodging) | -4 | CHH, HLT, MAR, WH |
Retail | Consumer Services | Consumer Electronics/Video Chains | -2 | CURI, RDI |
Retail | Consumer Non-Durables | Recreational Products/Toys, Motor Vehicles | -4 | FOXF, HOG, PII, YETI |
Retail | Consumer Services | Marine Transportation | -11 | CCL, CUK, FXLV, NCLH, PLNT, PTON, RCL, SEAS, SIX, TNL, VAC |
Retail | Consumer Non-Durables | Recreational Products/Toys | -1 | MAT |
Retail | Miscellaneous | Business Services | -3 | DESP, SOND, VCSA |
Retail | Consumer Services | Television Services | -1 | FOX |
Retail | Consumer Services | Newspapers/Magazines | -2 | NWS, NWSA |
Retail | Consumer Services | Automotive Aftermarket (Parts) | -6 | AAP, AZO, GPC, LKQ, MNRO, ORLY |
Retail | Consumer Durables | Automotive Aftermarket | -6 | CVNA, CWH, GPI, LAD, LAZY, VRM |
Retail | Consumer Services | RETAIL: Building Materials | -6 | BECN, BXC, HD, LL, LOW, TSCO |
Retail | Consumer Non-Durables | Consumer Specialties | -3 | BRLT, MOV, SIG |
Retail | Consumer Services | Clothing/Shoe/Accessory Stores | -14 | AEO, ANF, BBWI, BOOT, BURL, CAL, CHS, CTRN, GCO, LULU, ONON, ROST, SCVL, URBN |
Retail | Consumer Services | Consumer Electronics/Video Chains | -1 | BBY |
Retail | Consumer Services | Department/Specialty Retail Stores | -4 | DDS, JWN, KSS, M |
Retail | Consumer Services | Department/Specialty Retail Stores | -6 | BIG, BJ, DG, DLTR, FIVE, OLLI |
Retail | Health Care | Medical/Nursing Services | -1 | WBA |
Retail | Consumer Services | Other Specialty Stores | -5 | BBBY, LOVE, LZB, RH, WSM |
Retail | Miscellaneous | Business Services (Internet) | -8 | AMZN, ETSY, FTCH, GRPN, OSTK, REAL, RENT, SSTK |
Retail | Consumer Services | Other Specialty Stores (Leisure) | -4 | ASO, DKS, DTC, WINA |
Retail | Consumer Services | Department/Specialty Retail Stores | -3 | COST, TGT, WMT |
Retail | Consumer Services | Restaurants | -16 | BH, CAKE, DENN, DIN, DRI, EAT, JACK, KRUS, MCD, PZZA, QSR, RRGB, RUTH, SHAK, WEN, WING |
Retail | Consumer Services | Other Specialty Stores | -3 | JOAN, ULTA, WRBY |
Retail | Consumer Services | Food Chains | -5 | ACI, CASY, IMKTA, KR, NGVC |
Retail | Basic Industries | Package Goods/Cosmetics | -2 | CHD, CLX |
Retail | Consumer Non-Durables | Farming/Seeds/Milling | -1 | MO |
Retail | Transportation | Air Freight/Delivery Services | -1 | CPA |
Retail | Consumer Non-Durables | Food Distributors | -3 | PFGC, UNFI, USFD |
Industrial | Capital Goods | Military/Government/Technical | -6 | BA, GD, RKLB, SPR, TGI, TXT |
Industrial | Consumer Durables | Consumer Electronics/Appliances | -3 | CARR, FIX, WSO |
Industrial | Consumer Durables | Building Products | -3 | BLDR, CSTE, WTS |
Industrial | Industrial | Consumer Non-Durables | -3 | PATK, THO, WGO |
Industrial | Basic Industries | Forest Products | -1 | BCC |
Industrial | Technology | Advertising | -1 | LAMR |
Industrial | Miscellaneous | Business Services | -3 | BAH, ICFI, RGP |
Industrial | Miscellaneous | Office Equipment/Supplies/Services | -1 | ARC |
Industrial | Technology | Diversified Commercial Services | -2 | HEES, RCII |
Industrial | Miscellaneous | Business Services (Outsourcing) | -1 | UNF |
Industrial | Technology | Professional Services | -3 | ASGN, RHI, ZIP |
Industrial | Consumer Durables | Containers/Packaging | -2 | ATR, SEE |
Industrial | Technology | Industrial Machinery/Components | -3 | EMR, ETN, TRS |
Industrial | Technology | Electrical Products | -3 | FN, LWLG, TTMI |
Industrial | Capital Goods | Electrical Products | -1 | CGNX |
Industrial | Consumer Durables | Metal Fabrications | -1 | AZZ |
Industrial | Miscellaneous | Industrial Machinery/Components | -2 | ARW, IIVI |
Industrial | Capital Goods | Fluid Controls | -4 | ITW, KRNT, NDSN, ZWS |
Industrial | Basic Industries | Aluminum | -5 | CENX, IIIN, MTRN, ROCK, SCHN |
Industrial | Basic Industries | Paper | -4 | NP, PKG, VRTV, WRK |
Industrial | Consumer Services | Diversified Commercial Services | -2 | ARLO, NSSC |
Industrial | Transportation | Air Freight/Delivery Services | -2 | FDX, UPS |
Industrial | Capital Goods | Wholesale Distributors | -1 | GBX |
Industrial | Transportation | Railroads | -1 | CSX |
Industrial | Transportation | Trucking Freight/Courier Services | -3 | ARCB, ODFL, SAIA |
Industrial | Capital Goods | Auto Manufacturing | -1 | SHYF |
Health | Finance | Specialty Insurers | -1 | CRVL |
Health | Health Care | Major Pharmaceuticals | -9 | ACOR, ANIK, CGEN, ENTA, EXEL, INO, RARE, RPTX, TGTX |
Health | Health Care | Major Pharmaceuticals (Ethical Drugs) | -2 | BHC, ENDP |
Health | Health Care | Hospital/Nursing Management | -2 | CYH, THC |
Health | Health Care | Medical/Nursing Services | -1 | DVA |
Health | Health Care | Medical/Dental Instruments | -2 | ABMD, BSX |
Health | Health Care | Biotechnology: Commercial Physical & Biological Research | -1 | MEDP |
Health | Health Care | Medical Specialities (Services) | -1 | NVTA |
Health | Health Care | Biotechnology: Electromedical & Electrotherapeutic Apparatus | -1 | NVRO |
Health | Health Care | Other Pharmaceuticals | -2 | ABC, PETQ |
Commodities | Basic Industries | Agricultural Chemicals | -1 | IPI |
Commodities | Energy | Industrial Machinery/Components | -1 | BLNK |
Commodities | Energy | Coal Mining | -1 | METC |
Commodities | Capital Goods | Construction/Ag Equipment/Trucks | -1 | CAT |
Commodities | Capital Goods | Industrial Machinery/Components | -2 | DE, LNN |
Commodities | Energy | Integrated oil Companies | -1 | EC |
Commodities | Energy | Oil & Gas Production (U.S.) | -2 | CDEV, HPK |
Commodities | Basic Industries | Steel/Iron Ore | -1 | ATI |
Financial | Finance | Commercial Banks | -2 | CM, NU |
Financial | Finance | Major Banks (Midwest) | -1 | ASB |
Financial | Finance | Major Banks (Northeast) | -5 | CBNK, EGBN, LBAI, MCB, TBBK |
Financial | Finance | Major Banks (Regional) | -1 | TFC |
Financial | Finance | Major Banks (West) | -2 | HOPE, SI |
Financial | Finance | Finance: Consumer Services | -1 | TSLX |
Financial | Finance | Finance: Consumer Services | -1 | WRLD |
Financial | Miscellaneous | Business Services | -1 | DFS |
Financial | Finance | Investment Bankers/Brokers/Service | -1 | SF |
Financial | Finance | Investment Managers | -2 | DHIL, JHG |
Financial | Consumer Services | Real Estate Investment Trusts | -2 | ABR, NLY |
Financial | Consumer Services | Real Estate Investment Trusts | -1 | ESNT |
Financial | Consumer Services | Real Estate Investment Trusts | -18 | AHT, AMH, ARE, ESS, HIW, LAND, LSI, NNN, NSA, NTST, PEB, PLD, ROIC, SKT, SRC, STAG, STOR, UDR |
Financial | Consumer Services | Other Consumer Services (Specialty) | -3 | BCSF, PRAA, RIOT |
Financial | Finance | Accident &Health Insurance | -1 | CNO |
Financial | Finance | Specialty Insurers | -1 | BRO |
Financial | Finance | Property-Casualty Insurers (Diversified) | -4 | AIG, AIZ, HIG, PFG |
Financial | Finance | Life Insurance | -3 | LNC, MET, PRU |
Financial | Finance | Property-Casualty Insurers | -4 | CB, ESGR, GSHD, WRB |
Financial | Finance | Real Estate | -3 | CBRE, NMRK, RDFN |
Disclaimer: MCBOSS CAPITAL provides financial education and information research. None of this information should be used for investment purpose. Please seek professional advice. Information provided may not always be accurate.
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