Mike Larson | Editor-in-Chief
Think the stock market just went from downright depressed to extremely euphoric? It’s not in your head! The S&P 500 Index (^SPX) just swung from oversold to overbought in the second-shortest timeframe EVER.
Check out the MoneyShow Table of the Day — courtesy of Bloomberg. As you can see, the 14-day Relative Strength Index (RSI) on the S&P just surged from below 30 to above 70 in only 11 days. The index has only done that faster ONCE in three quarters of a century worth of record-keeping. That was in August 1982, when it took six days.
In fact, since the turn of the century, there have only been four times we even came close. They were in 2016 (13 days), 2023 (15 days), 2019 (21 days), and 2014 (22 days).
So, if you’re suffering from a case of market whiplash, take heart. You’re not alone. We really have swung to giddiness in a short period of time.
Then there’s the huge shift in sector leadership. Through midday Friday, the State Street Technology Select Sector SPDR Fund (XLK) was the big April winner at +14.8%. The State Street Energy Select Sector SPDR Fund (XLE)? It was DOWN 6.7% month-to-date.
What’s more, we have tons of high-momentum stocks leading the charge during the rebound. Space stocks? Check. Chip stocks? Check. A failing sneaker company that decided to pivot to AI? Check (for a while, anyway).
I’ve said for some time I expected H1 2026 to be volatile. And volatile it has been. But while I remain “cautiously optimistic” about markets longer-term, we’re wildly overextended in the short term. So, if you’re an active trader, it might be time to cash in some chips.
Christopher Berlet is a graduate of Mining Engineering from Queen's University in Ontario, Canada and holds a Diploma in Accounting and Finance from the London School of Economics and Political Science in London. In this briefing from our March MoneyShow Virtual Expo, the President, CEO, and Director of Stakeholder Gold lays out his investment case — including a summary of the rapid recent growth in international critical mineral requirements and the powerful portfolio effects from investment in a new discovery.
Amid Middle East Turmoil, Can You Afford to Miss Out on Dallas?
With tensions flaring in the Middle East — and oil prices and stocks swinging wildly as a result — can you AFFORD to miss out on our 2026 MoneyShow Masters Symposium Dallas?
We’re bringing dozens of the nation’s top experts on geopolitics, economics, and oil and gas to the Hilton DFW Lakes Executive Conference Center May 14-16 — for YOUR benefit. To get their insights, strategies, and recommendations, simply tap this button today…!
As of Thursday’s close, MACD indicators applied to the Dow Jones Industrial Average and S&P 500 Index (^SPX) were positive. But May officially marks the beginning of the “Worst Six Months” for the DJIA and S&P. To wit: “Sell in May and go away,” writes Jeff Hirsch, editor-in-chief of The Stock Trader’s Almanac.
👉 TICKER: LITE
SpaceX is currently preparing its roadshow ahead of a record $2 trillion IPO. Consequently, stocks like Lumentum Holdings Inc. (LITE) are high momentum and still trending higher in a powerful manner. But traders have to decide how much of the talk about data centers in space is hype and what is likely to become reality, advises Eoin Treacy, editor of Fuller Treacy Money.
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