ChartAdvisor for July 16 2015 Tickers in this article: SPY, DIA, QQQ, IWM The U.S. markets moved higher over the past week, as of Thursday's close, driven by Greece's decision to stay in the Eurozone and an ongoing recovery in China's markets. Despite the favorable headwinds from abroad, corporate earnings struggled thanks to low oil prices that clipped energy sector earnings by around 60% and a strong dollar that led to weaker international sales. These same trends could help boost other areas of the economy by helping consumer spending.
International markets also moved higher over the past week, as of Thursday's close in the U.S. Japan's Nikkei 225 rose 3.26%; Germany's DAX 30 rose 3.54%; and, Britain's FTSE 100 rose 1.76%. In Europe, Greece came to a last-second deal for a third bailout from the European Union with harsh requirements that have many wondering if it's shortsighted. In Asia, China's efforts to curb the decline in its equity markets appears to have been successful — at least for now.
The S&P 500 SPDR (SPY) 
The S&P 500 SPDR (ARCA: SPY) rose 2.31% over the past week, as of Thursday's close. After falling below its lower trend line support near its 200-day moving average, the index rebounded higher past its R1 resistance. Traders should watch for an extended move higher toward its upper trend line and R2 resistance at 215.22. Looking at technical indicators, the RSI appears a bit overbought at 60.04, but the MACD recently experienced a bullish crossover.
Dow Jones Industrial Average SPDR (DIA)  The Dow Jones Industrial Average SPDR (ARCA: DIA) rose 2.06% over the past week, as of Thursday's close. After falling below its pivot point to its 200-day moving average, the index rebounded back above its R1 resistance. Traders should watch for a continued rally to R2 support at 183.73 or a move lower to its 50-day moving average at 179.34. Looking at technical indicators, the RSI is slightly overbought at 58.89, but the MACD experienced a bullish crossover.
PowerShares QQQ Trust (QQQ) 
The PowerShares QQQ Trust (NASDAQ: QQQ) rose 3.99% over the past week, as of Thursday's close. After falling below its pivot point near its S1 support, the index sharply rebounded to make new highs this week. Traders should watch for an extended rally to R2 resistance at 112.77 or a move back down to R1 support at 109.92. Looking at technical indicators, the RSI appears very overbought at 64.19, but the MACD appears to be in a bullish uptrend.
iShares Russell 2000 Index ETF (IWM)  The iShares Russell 2000 Index ETF (ARCA: IWM) rose 1.76% over the past week, as of Thursday's close. After falling to its S1 and lower trend line support, the index rebounded past its pivot point near its R1 resistance. Traders should watch for a move higher to the R1 resistance at 127.75 or a move lower to the 50-day moving average at 124.51. Looking at technical indicators, the RSI appears neutral at 56.36, while the MACD is on the cusp of a bullish crossover.
Looking Ahead The major indexes moved higher over the past week, as of Thursday's close, amid rising confidence in the Eurozone and Asia. Next week, traders will be watching a slew of corporate earnings, as well as economic events, including existing home sales on July 22nd, jobless claims on July 23rd, and new home sales on July 24th.
Refine Your Financial Vocabulary Sign up to receive our FREE Term of the Day newsletter. Gain a better understanding all things financial with technical and easy-to-understand explanations. Click here to begin developing your financial language with this daily newsletter. Charts courtesy of stockcharts.com Disclosure - At the time of writing, the author did not own shares of any company mentioned in this article.
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