VOO trade ideas
$VOO going down ?As you know the stock market and the cryptocurrency market correlates together, so it wouldn’t be wrong to look for a bear perspective because in the cryptocurrency market, we can currently see BTC trending down on the monthly. So if Bitcoin goes down the stock market will also go down so this is my Beer perspective on VOO . Tell me what you guys think below in the comments.
VOO TRACKS EVERYTHING THAT IS TRADED IN THE USA.I AM IMPLYING THAT THE MARKETS WILL RALLY VERY HARD.
The Impact of Tariffs and Monetary Policy on VOO and the U.S. Economy
The Vanguard S&P 500 ETF (VOO) has been experiencing significant growth, mirroring the strength of the U.S. economy and the shifting landscape of global finance16. This upward trajectory can be attributed to several interconnected factors, including changes in monetary policy, the implementation of tariffs, and their effects on liquidity and investment patterns.
Central Bank Policies and the Carry Trade
Recent adjustments in interest rates by central banks worldwide have been made to align with the United States' monetary stance24. These changes have implications for the carry trade, where investors borrow in low-interest-rate currencies to invest in higher-yielding assets. The recalibration of interest rates globally could be contributing to increased capital flows into U.S. equities, benefiting funds like VOO.
Tariffs and Domestic Liquidity
The implementation of tariffs by the Trump administration, while controversial, may have unexpected positive effects on U.S. liquidity. Unlike the issuance of Treasury bills, which requires interest payments to foreign buyers, tariff revenues remain within the U.S. economy. This retention of capital can lead to increased domestic liquidity, potentially boosting equity values through direct investment or improved lending conditions for companies1.
The Money Multiplier Effect
Tariff revenues deposited in U.S. banks can trigger a significant money multiplier effect. Through fractional reserve banking, each dollar of tariff revenue could theoretically expand into much larger amounts of credit availability. This process, known as reflation, can stimulate economic activity without necessarily causing inflation5.
Shift from Treasuries to Equities
The influx of tariff revenue may reduce the government's reliance on Treasury bill issuance for funding. This shift could lead to a reorientation of investment patterns, with both domestic and foreign investors potentially increasing their allocation to U.S. equities. For countries seeking to anchor their currencies to dollar-denominated assets, U.S. equities may become an increasingly attractive alternative to Treasuries3.
Global Implications
The changing dynamics of U.S. fiscal and monetary policies have far-reaching effects on global markets. Smaller economies, in particular, may find themselves needing to adjust their currency management strategies, potentially leading to increased investment in U.S. equities as a means of stabilizing their own currencies2.
Inflation Considerations
It's important to note that while the stock market, including VOO, has seen significant nominal gains, the real value of these gains must be considered in light of inflation. With prices having roughly doubled, the purchasing power of investment returns has been affected, underscoring the importance of robust equity performance5.
In conclusion, the current rally in VOO and the broader U.S. equity market can be seen as a result of complex interplay between monetary policy, fiscal measures such as tariffs, and global economic dynamics. As these factors continue to evolve, they are likely to shape the trajectory of U.S. equities and the global financial landscape in the coming years.
The Vanguard S&P 500 ETF (VOO)As of January 25, 2025, VOO is trading at $559.01, reflecting a slight decrease of 0.296% from the previous close.
Analyst Projections for 2025
Analysts have provided various forecasts for VOO's performance in 2025. According to a report from December 2024, the average projected price for VOO in 2025 is $614.07, with estimates ranging from a low of $503.13 to a high of $716.68.
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Another analysis predicts that VOO could reach a maximum price of $825.96 in December 2025, with an average price of $755.95 for that month.
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Market Sentiment and Economic Indicators
The optimistic projections for VOO are supported by expectations of continued economic growth, robust corporate earnings, and advancements in technology sectors. A December 2024 article highlighted that the stock market could potentially gain another 20% in 2025, driven by positive sentiment, deregulation initiatives, and developments in artificial intelligence.
BARRON'S
Considerations for Investors
While the forecasted price of $650 by December 23, 2025, aligns with some optimistic analyst predictions, it's essential to consider potential risks. Factors such as market volatility, regulatory changes, and global economic uncertainties could impact VOO's performance. Investors are advised to monitor economic indicators, corporate earnings reports, and policy developments to make informed decisions.
In summary, VOO's outlook for 2025 appears promising, with several analyses suggesting significant growth. However, as with all investments, it's crucial to stay informed and consider both the potential rewards and risks.
Next 4 Year OutlookAs I types this we are Six days away from the inauguration of President Donald Trumps Second Term. His threats to impose 25% Tariffs on his NA allies, Canada and Mexico looms over (if I were a betting man, Loose air). Besides the matter, I still hold the ideology, that the United States will remain the dominant and leading financial market in the world economy.
VOO (Vanguard S&P 500 ETF) – Bearish Wave ContinuationOverview:
This analysis on VOO highlights a possible short opportunity as it completes a corrective wave structure. Utilizing Elliott Wave Theory and Fibonacci retracement, we anticipate a reversal within the resistance zone leading to further downside continuation.
📊 Technical Analysis:
Elliott Wave Structure:
- Wave W: Completed with a significant drop, signaling bearish momentum.
- Wave X: Retracement phase nearing completion at a critical resistance zone ($550.77–$551.54).
- Wave Y: Expected continuation lower, targeting key Fibonacci extensions.
Fibonacci Analysis:
- Resistance Zone: $550.77–$551.54 (between 61.8% and 65% retracement).
- Stop-Loss: $557.91 (just above the 88% retracement for protection).
- Target 1: $538.66 – Previous support level aligning with the 1.0 extension.
- Target 2: $526.78 – Confluence of the 1.618 Fibonacci extension and structural support.
Bearish Confirmation:
Price rejection within the resistance zone will confirm the setup.
Look for increased volume and bearish candlestick patterns before entering the trade.
🌐 Macro Overview:
Market Sentiment:
Continued market uncertainty driven by inflation and Federal Reserve interest rate policies may dampen bullish sentiment.
Economic Data:
Weakening consumer sentiment and declining corporate earnings expectations suggest potential downside for the S&P 500 ETF.
Sector Impact:
Tech-heavy sectors and growth-oriented stocks within the S&P 500 are likely to face pressure due to rising yields.
📌 Trade Plan:
- Short Entry: Between $550.77–$551.54 within the resistance zone.
- Risk Management: Stop-loss at $557.91.
- Profit Targets: Target 1 at $538.66 and Target 2 at $526.78, offering a solid risk-reward ratio.
⚠️ Risk Considerations:
Monitor economic events such as CPI releases or Federal Reserve statements, as they could affect the broader market trend.
Would you take this trade, or do you see the market moving differently? Let me know in the comments! 🚨📉
Vanguard S&P 500 ETF | Chart & Forecast SummaryKey Indicators on Trade Set Up in General
1. Push Set Up
2. Range Set up
3. Break & Retest Set Up
Notes On Session
# Vanguard S&P 500 ETF
- Triangle 1&2 | Target Invalid/Valid
- Double Top | Target Valid
- Retracement | Center Uptrend Settings
- Support=0(12345) | Wave 1
Active Sessions on Relevant Range & Elemented Probabilities;
London(Upwards) - NYC(Downwards)
Conclusion | Trade Plan Execution & Risk Management on Demand;
Overall Consensus | Buy
VOO to Hit 490-505 in February 2025Although there is a lot of steam in the SP500, especially with the election, things will begin to turn down as we see that this is unsustainable. Especially as we start to understand the ramifications of all of the recession impacts from the monetary easing over the last 4 years.
SHORT $VOO (I'm buying SPXU SQQQ & TZA)MODs have suggested that I provide more detail about the picks I make.
Sorry. I'm not as verbose as y'all, and I don't like things to be complicated.
My trading plan is very simple.
I buy or sell at top & bottom of parallel channels.
I confirm when price hits Fibonacci levels.
Bonus if a TTM Squeeze in in play.
I hold until target is reached or end of year, when I can book a loss.
So...
Here's why I'm picking this symbol to do the thing.
Price at top of channel (period 52 39 & 26)
Stochastic Momentum Index (SMI) at overbought level
VBSM is spiked positive
Impulse MACD is extreme high
Price at Fibonacci level
In at $536.19
Target is $526 or channel bottom
Stop loss is $537
240729 Weekly OutlookThe following week have major data release including,
240730 Tue CB Consumer Confidence ****
240731 Wed Fed Interest Rate Decision *****
240801 Thu Initial Jobless Claims ****
240801 Fri Nonfarm Payrolls *****
Unemployment Rate *****
Consumer Confidence is the major leading indicator alongside Michigan Consumer index. Investors should follow the rise of two indexes to lead increase in economic data like inflation, GDP, labor market conditions, as well as economic conditions.
Fed rate is expected to remain unchanged, while market discounting the first cut in the cycle to come in September.
Labor market show resilience all the way that give space to maintain higher rates in this cycle for longer. Even the first rate cute is forecasted for September, I would still expect the higher rates to stay here for longer period due to resilient labor market, as shown by labor market indicators.
There are no signs for S&P to weaken this time, rather shuttle up and down at high levels. Note that last adjustment in S&P followed the deviation of 12% from major trend line 200SMA. Attentive investors could observe it previously.
When the market finally digest selling orders, S&P should resume the rising trend.
Choosing which stocks to buy is a mind boggling gameFor simplicity, I chose 3 of my vested assets to show the difference the yearly returns (beginning of 2023 to end 2023) namely, VOO ETF (tracking the SPX500 index), PG (Proctor & Gamble) and Meta (Facebook) stocks respectively.
One can see that PG has given the worst performance returns out of the 3 assets , registering a single negative digit returns of 1.87% , probably worse off had you invested the capital in a bond. The ETF was not too bad, given a 1 year return of 24% and the champion of course is the tech darling, Meta offering a staggering 177% return.
Selecting which stocks to buy is part science (studying the business model, financials,etc) and part luck. I said luck because there is sector rotation at play each year and if you happen to ride on the right sector, you are going to win bigger and faster in the same time frame. However, putting all your eggs in one sector can be dangerous as it could quickly falter or goes out of favour this year for many reasons that an individual investor cannot control.
Therefore, I park some of my funds in the VOO ETF which offers me a not too bad returns consistently and the winning stocks I selected are a bonus. I make sure that capital allocation does not get too big so that if anything happen, my pot of diversified assets will help to rebalance the losses.
For those new to the market, you might want to consider an ETF that you like based on your selection criteria - dividends, geography, sectors, risk exposure,etc.
Please DYODD and manage your capital wisely
#VOO#The market is about to welcome a bullish reversal.The Vanguard S&P 500 ETF (VOO) remains a quintessential pick for investors seeking to mirror the performance of the S&P 500 Index. The ETF boasts a dividend yield of 1.5736%, with a return of 7.15% over the past year, slightly outpacing the SPY's return of 6.52%.
A technical analysis suggests that VOO is currently in a complete impulse wave pattern, having concluded a corrective phase within its smaller cycle structure. The RSI indicator is nearing the overbought territory on the 4-hour chart, signaling a potential minor price retracement in the short term, which is a natural part of the upward trend.
On the daily chart, the MACD indicator has started to rebound from its lows, indicating a reduction in bearish momentum. Additionally, prices have maintained above the 200-day moving average, signaling positive momentum. A weekly chart review clearly suggests an upcoming bullish market reversal within the next year. The first resistance target is anticipated around $515, with a secondary target near $635.78. The diminishing bearish momentum in the MACD indicator, coupled with the RSI breaking above resistance levels, suggests a hold position on VOO would be prudent. The S&P 500's performance in the upcoming period also looks promising.