US stocks: technical indicators are stretched - Westpac

Analysts at Westpac note the continued performance in US equities but warn that the technical indicators are looking stretched.

Key Quotes:

"The S&P 500 gapped higher Wednesday and Thursday last week as the market advanced every session last week for a 2.6% gain. The NASDAQ rose 3.4%. These are the best weekly performances in a little over a year. 

The S&P 500 had edged lower in the last week of 2017 (-0.35%), but before that the last week this benchmark fell was in the week ending November 17.   

Obviously, at record highs, talk about resistance is spurious. Technical indicators are stretched, but only the downside gaps and the Bollinger Band suggest a cautious stance.  The S&P 500 finished the last two sessions above the upper Bollinger Band (~2726)."