Equity markets begin the week pressing upon upper level resistance. Our internal quantitative analysis indicates that the broad market (SPX complex) is entering overbought price zones as well. A pause to digest gains and test lower support would provide the best opportunity to capture the upper boundary of a defined “Raising Wedge” technical pattern on […]
Volatile start to 2015 portends stormy days ahead in financial markets. Violation of January’s lows will pressure the prevailing ascending trend.
A maturing consolidation range is at a critical inflection point and at risk of breaking down. Onus on Buyers to protect prices otherwise a more pronounced corrective phase will develop. Perhaps month end seasonality will assist Buyers?
Sellers return to tentatively regain control after last Friday’s breakout attempt failure. An ominous Double Top pattern is developing with the onus on Buyers to rescue prices otherwise a renewed corrective phase will overwhelm month end bullish seasonality. Prudent investors/trades will stand aside until the current corrective range is resolved.
A volatile options expiration frustrates both Buyers and Sellers. SPX remains in a defined consolidation range with the final resolution to determine the direction of a durable trend. End of month seasonality slightly favors Buyers and a possible breakout higher. However, prudent investors/traders will wait for confirmation. Until then, speculative participants may continue to consider […]
Sellers failed to follow thru lower after Wednesday’s FOMC induced sell-off allowing for Thursday’s relief rally and bounce back within a defined consolidation range. Resolution of this pattern is likely to determine the durability of a weakening corrective phase.