Question

Collect recent data on the stock market index (for e.g., either S&P500 or DJIA or TASI) for a period covering a few months. Try to identify primary trends using the technical analysis stats discussed in the class. Can you tell whether the market currently is in an upward or downward trend?

Answer 1

S&P 500 Historical Data

• Date Range:

  01/01/2020 - 06/30/2020

• Monthly

Date	Price	Open	High	Low	Volume	Chg%
Jun 2020	3,053.24	3,035.80	3,233.13	2,964.40	0	0.29%
May 2020	3,044.31	2,856.70	3,068.88	2,766.46	0	4.53%
Apr 2020	2,912.43	2,488.12	2,955.10	2,447.49	0	12.68%
Mar 2020	2,584.59	2,982.50	3,137.80	2,189.88	0	-12.51%
Feb 2020	2,954.22	3,235.66	3,393.52	2,855.84	0	-8.41%
Jan 2020	3,225.52	3,244.67	3,337.77	3,214.64	0	-0.16%

Highest = 3,393.52

Lowest = 2,189.88

Difference = 1,203.64

Average = 2,962.39

Chg. % = -5.50

we can use several analysis tools to find out the trend of the given data. Here only taken 6 months data of s&p 500. with this data we can surely say that the trend of the given is downward . here we can identify by taking the changes of averages or the percentage of changes in prices . on jan 2020 the price of the stock were 3225.52 it were had a decrease in the price from 3230.68. which is of 0.16%. after that the price of the stock had changed to 2954.22 which is again got a fall in price of -8.41% , here we can see that the perecentage of change were increased. after that on march 2020 th price of the stock got changed to 2584.59 wich is agin got a fall in price of -12.51%. the trend of the stock price is downward now. and which is falling more. and after that the price got rised to 2912.43 on april 2020 which had an increase of 12.68%. the positive change in price doesn't make any change in trend pattern. on may 2020 it again got a rise in price to 3044.31 which is of 4.53%. after it changed to 3053.24 which had a small change 0.29%. by seeing these changes only we can say that its a situation of not to put money. because the patten of the stockprice can't be predicted. for the last 3 months it had positive changes but the percentage of changes is still negative. so even if it had positive changes, it is still in downward trend.