Breaking down where the stock market is going
Looking at the daily chart on the ES futures contract (S&P) Today was a big day with price pulling up and holding the lows form Feb 24.
The market has been on a crazy bull run since March 2009 so seeing this pullback is no surprise really, in fact I am surprised it didn't come earlier. Of course there was the pretty short-term collapse in 2020 but then the strong reversal we see in the chart here.
4800 was the highs and now resistance, along with 4700. You can see on Jan 18th price breaking down from the trendline and really confirming a trend change.
For the bulls it is very important what happened today but we will need to see price taking out the 4300 and 4400 walls for me to be confident that the market is turning bullish again.
Last week we saw a similar move only to see price pullback again. The key though is holding that Feb 24th low.
Let's see if price is above 4300 by the end of this week.
The market has been on a crazy bull run since March 2009 so seeing this pullback is no surprise really, in fact I am surprised it didn't come earlier. Of course there was the pretty short-term collapse in 2020 but then the strong reversal we see in the chart here.
4800 was the highs and now resistance, along with 4700. You can see on Jan 18th price breaking down from the trendline and really confirming a trend change.
For the bulls it is very important what happened today but we will need to see price taking out the 4300 and 4400 walls for me to be confident that the market is turning bullish again.
Last week we saw a similar move only to see price pullback again. The key though is holding that Feb 24th low.
Let's see if price is above 4300 by the end of this week.