EB Daily Market Report - Friday, April 17, 2026

Dear Members.

Another record day for the S&P and NASDAQ with the Dow lagging but doing its best to reach its record high.

It certainly helps that oil is down by over 10% due to positive developments in the Middle East. Interest rates are also well off their most recent highs and the $VIX dipped back into the 16's earlier in the session as fear has subsided from extreme levels in March.

With the strong market moves, there's no question that technically we are now in very overbought territory; the NASDAQ shows an RSI of 75 and the S&P is not far behind. And there have only been two other times in history where the NASDAQ has climbed as many days in a row as we're seeing today.

We all know that markets can remain overbought for extended periods, but no one could argue against locking in at least some profits after such a strong move. At a minimum perhaps think twice about taking new positions on stocks that have already made substantial moves to the upside, and be patient for pullbacks to key price or technical support levels.

The S&P touched 7137 earlier in the session so that is now price resistance. To the downside there should be price support near 7000.

Tom will be back with his Weekly Market Report on Monday.

At your service,

John Hopkins