Good evening StockBandits!
A fast and furious bounce on Thursday put a temporary halt to the selling pressure which had largely characterized the month of March, but with Friday’s arrival came the return of the sellers. We didn’t quite see all of Thursday’s gains coughed up, but generally speaking, we saw about half of the gains evaporate.
For the S&P 500, it was more of the same that we’ve seen for the past month. In fact, we’ve not seen back-to-back advances in the S&P since February 17th, which will be one full month this Tuesday. That’s certainly a change of pace from what we saw prior to that, as now the norm is to see strength met almost immediately with selling pressure.
Both the S&P 500 and DJIA have slipped back inside their respective trading ranges, while the NAZ and RUT are currently just above theirs. That gives us a divided market at the moment, and with the day to day reversals we keep seeing, traction is tough to come by.
Right now, we’re still waiting for more technical evidence to determine whether or not this minor pullback will remain that way, or if instead it will intensify and really drive market participants to aggressively raise cash and head to the sidelines. That might take a little more time given that the bull just turned 6 last week, but in the short term this lack of upside follow through is certainly grounds for continued caution.
Let’s get to the charts.
Bullish Watch (click for charts)
Bearish Watch (click for charts)
Trade Like A Bandit!
Jeff
