Vertical Research Advisory
Log inJoin Now
Newsletter

VRA Letter: Stellar Rally, But Hitting Extreme OB Readings. FOMC Meeting & Statement. Gold & Miners: Keep Buying Dips.

Good Monday morning. Last week featured “the tell”, as the markets rallied on the back of significant beats from Mag 7 names META and MSFT while getting mixed economic data as Q1 GDP was negative while Fridays jobs report was ...

Posted On May 05, 20253 MIN Read
Share:
vra-default-img

Good Monday morning. Last week featured “the tell”, as the markets rallied on the back of significant beats from Mag 7 names META and MSFT while getting mixed economic data as Q1 GDP was negative while Fridays jobs report was solid. The S&P 500 has jumped 10% on 9 straight days of gains, as some of our major indexes have begun to close in on their 200 dma (nasdaq 100 is tagging the 200 dma).

Heads up: each US index is hitting extreme overbought readings on the VRA System (short term, only), joining Bitcoin, which hit EOBOS (extreme overbought on steroids, our most OB readings) on Thursday. With US ports clearly slowing down, news on trade deals with China (and others) will once again begin to take center stage.

This week: we have another important week ahead, led by the Fed meeting on Tuesday/Wednesday, capped by the Fed’s statement and Powell presser. While we won’t get a rate cut on Wednesday we expect a resumption of the Feds rate-cutting cycle at their June meeting.

Te...

Continue reading your article and start your free 14-day trial with VRA.

Start Free Trial

Already have an account? Sign in.

Related Post

May 20, 2025
VRA Letter: Retail Investors & Textbook Bull Market Action. Rich Ross on “Making Money; NVDA, TSLA. ECB Warns of an Epic Short Squeeze in Gold. Xtract

Good Tuesday morning. In yesterday’s Letter we explained why Moody’s downgrade of US debt would be a non-event (short-medium term) for the market and another buying opportunity, but even we were surprised by how minor the pause was. The markets came roaring back from 1% to 1.5% losses to close higher across the board. Textbook bull […]

May 19, 2025
VRA Letter: The US Loses its Last AAA Rating. The Reality of the Downgrade. Sector Focus; Gold & Gold Miners

Good Monday morning. After the close on Friday Moodys downgraded US debt, meaning that the US has now lost its AAA credit rating from each of the three major rating services. Does this matter? First, this was not a surprise as Moodys telegraphed this move months ago. In the short to medium term, it matters little.  Futures are […]

May 16, 2025
VRA Letter: Textbook Bull Market Action. Pre-tariff Investor Mindset Returns. Prepare for (much) Lower Rates. Quick Hitters. Fox Business.

Good Friday morning. Another repeating pattern day yesterday, as a lower open was once again met with strong mid-day buying. As short-term overbought as we may be, the market doesn’t seem to care. Textbook bull market action continues. The train looks to have left the station and it likely won’t stop until we hit ATHs […]

May 15, 2025
VRA Letter: “Making Money” @ 2pm est. ST Overbought with Another “Breadth Thrust” Buy Signal. FIFO. News: Snowline Gold, Xtract One, Galaxy Dig, Lost

Good Thursday morning. Heads up: I'll be on Fox Business “Making Money” with the excellent Charles Payne in the 2PM EST hour. Hope you can join us! We have a lot to get to this morning…breaking news on several VRA holdings…but first, the market. Market Update The VRA System sits at 8/12 screens bullish, a full-on buy […]

May 14, 2025
VRA Letter: Semis Leading; Textbook Bull Market Action. NVDA, TSLA, SMR. Latest From Rich Ross. Vista Gold Zoom.

Good Wednesday morning. Another strong day yesterday, especially in the indexes and sectors that matter most (semis & tech). Below in this relative strength chart we see that from (exactly) the markets lows of 4/7, the semis (SMH) have led the market higher (S&P 500). This is textbook bull market action. From the birth of QE (2008/2009), […]