April is Financial Literacy Month, and it reminds us that the stock market can change fast.
After a dip on March 30, the market started climbing. The S&P 500 had trouble breaking above its 200‑day average at first, but on April 8 it jumped higher and kept rising. By the end of the week, both the S&P 500 and the Nasdaq finished at record highs, and smaller companies also joined the rally.
The biggest lesson from this quick move is to keep an eye on the long‑term trend.
Looking at a 20‑year monthly chart of the S&P 500, you can draw a line that connects two low points in October 2023 and another later low. That line still points up, showing that the overall direction is upward. When the big trend is up, short drops can be good chances to buy long‑term stocks at lower prices.
Which stocks might benefit from this rise? Large growth stocks have already jumped, so it may feel like you missed the action. However, many stocks have not yet recovered their pre‑war losses. A quick way to find them is to use the StockCharts Technical Rank (SCTR) panel on your dashboard.
Instead of looking at the default "Large Cap" or "Top 10" tabs, switch to the "Top Up" tab. This view lists stocks that are beginning to move strongly.
From there, click the CandleGlance button to see each stock’s chart. Then open the RRG chart to see which stocks are leading, improving, lagging, or weakening. Using both tools together gives a clearer picture of which stocks deserve a closer look.
You can repeat this exercise with small‑cap or mid‑cap groups, which have also shown strength. The numbers are helpful, but digging deeper reveals what’s really happening behind the price moves.
With a week still left in April, pick one StockCharts tool and explore it thoroughly. Use the ChartSchool search and Support Center pages to learn everything you can. Financial Literacy Month is a perfect time to boost your investing knowledge – a small step today can start a lifelong journey.
Source: Materials provided by https://articles.stockcharts.com.Note: Content may be edited for style and length.