Stock Market Recap And Options Review: March 25 Expiry

The March options expiration ended with all three major stock market ETFs ($SPY, $QQQ and $IWM) finishing higher. $SPY closed well over its 200 SMA and is nearing potential resistance levels. While $QQQ also moved higher lethargically, $IWM consolidated well and broke out of a bull flag higher. $TLT showed some signs of life and is trying to bounce with a potential chance of a break higher. $CL_F (Crude Oil) moved higher while $GC_F (Gold) bounced after moving lower. $DX_F (U.S. Dollar) continues its downward move and took another pounding last week. Market breadth expansion was the norm with some intraday consolidation. With all that said, there are no sell signals yet to go short. From a breadth standpoint, here are a few indicators that may provide clues for the…
Read More

S&P 500 Weekly Update: Stocks Fight To Hold Gains

Stocks rallied for the third consecutive week last week. Can the stock market make it 4 weeks in a row this week? The rally last week was led mainly by crude oil, and small caps stocks, with the financials sector not far off. This undercurrent of support propelled the S&P 500 higher into the beginning of a thick price resistance zone. Intraday levels of the McClellan Oscillator $NYMO reached levels not seen since 2008 last week and the indicator has remained overbought for the past 2 weeks. I certainly agree some of the market breadth indicators are overbought but that potentially has been the fuel for higher prices and what may be on the horizon for the next few weeks. There has been quite a bit of consolidation and this has kept the Relative Strength…
Read More