Another spot-on commentary last week as I cautioned the market was close to being overbought.
In fact, it did turn out to be overbought.
Indeed, I’d mentioned a few times that earnings season was likely to be bullish, but that run was likely to be connected with earnings, and thereafter would likely peter out.
So, now the market is taking a well-earned rest… What’s next?
My analysis is that the indices will not be bouncing back this week and are more likely to find their ways back to Key Levels in due course.
As I look at my most trusted market timing tools this week, they’re not all completely aligned.
Market Outlook
Right now, the market is likely to continue its pause, and perhaps slide further towards the big Key Levels.
Watch the video at the foot of this email for more detail.
The Main Indices
The SPY has had a great run and is now resting.
The QQQ has had a rapid run and is now resting.
The IWM was overbought and has stopped in its tracks.
Again, I was right in saying last week that the current upswing would probably not last past earnings season.
Market Timers
- Longer Term Market Timer (OVIsi): As predicted, it turned half-green last week.
- Medium Term Swing Timer: Positive and not overbought.
- SPY OVI: Choppy and wobbling.
Continued sideways to lower movement looks most likely.
Fast Filters Stock Selection
Last week was less “nuggety” due to many stocks being overbought. My guidance to ‘not chase’ was very timely!
The same applies this week.
Here is a smaller list of stocks that look interesting for our consideration – remember to reference the video so you know what my sentiment is on each one:
AAPL AEM AMD AU AXP BAH CB CRUS FDX HUBB IBM JNPR LHX META NRG SBUX SHOP
Events
The OptionEasy Bootcamp on 22-23 April is only around the corner, and with all the upgrades coming, it will be our best ever. It’s at the National Hotel on South Beach Miami, and we’ll also be broadcasting live and recording it. I will be unveiling more upgrades and findings, making all of our trading more precise and more efficient.
Video analysis
Remember, you can play the video at 1.25x or 1.5x speed if you want to save time! I have placed all the stocks covered in today’s review in your “Latest Preview” watch list.
