Market Posture Mar 13, 2018

The technical indicators lead me to believe we're back in positive trending territory, I still hold on to the idea that volatility may be here to stay for a bit. Political decisions that affect economics will foster that volatility. 

Prices on the SPX have shown us higher highs and higher lows. The Stochastic lines are both back above 75. With the Near-Term line on the MFC above 80 for six consecutive days (assuming today ends up above 80), it looks like the stress is down and buyers have engaged, but I think with trepidation. 

Now that the SPX is above February 26 and 27 highs, this level should act as support.

Watch the 20-day moving average line as it approaches the 50-day line. The market may move sideways as the 20 approaches the 50. More often, however, after the 20 has crossed the 50 the market remains neutral to bullish.

I'm hoping at this point that most of you are back to break even or positive now that the market has recovered most of February's loss.

Warm regards,

Craig