It's earnings season!
And the market seems to be riding the highs of multiple positive earnings reports from companies this week.
"Our recent survey indicates retail investors are bullish heading into the fourth quarter. While there are many crosscurrents in the markets which could provoke concern, the survey results and associated commentary suggests that investors are buoyed by the prospect of a robust earnings season," said Louis Navellier, chief investment officer at Navellier & Associates.
One such crosscurrent is inflation, which has been an ongoing concern for investors.
"As the prices for food, energy, and household goods increase, it will continue to account for a larger percent of consumer pockets, so some economists are now grumbling about the possibility of a “recession.” My favorite economist, Ed Yardeni, likes to describe the current economic environment as a “Hypersonic Business Cycle.” Even though the U.S. economy appears to have achieved “escape velocity” relative to China and other struggling economies, it is hard to fight gravity. So as the rest of the world stumbles, it is inevitable that U.S. economic growth will also slow," he continued.
Zooming in a bit, what do the technicals of the market tell Action Alerts PLUS portfolio manager Bob Lang about the state of the market?