More Upside Today……..Update, the Ideal Scenario
Today looks to be a continuation of yesterdays rally. Not that it makes any difference as we are at leverage levels that we are comfortable and will not be forced to buy any rallys. We will be looking for the potential of some technical confirmations of the bottom as the rally extends. Some things we will be watching for are as stated by a friend of mine who does technical analysis:
“On the daily charts the high on the low day, Friday, was 699.10. On Wednesday, we need to hold completely above that number.
On the weekly charts the high in the S+P index last weeek was 729.50 with the low at 666.80. We will need to hold completely above that 729.50 number next week.”
The EMA ETF Fund Nav was 824 at yesterdays close.
8:25 AM CDT
Update at 11:18 AM CDT The numbers that we alluded to earlier today can be used to define the ideal scenario for the rest of this week. Now that the market has moved out of panic selling mode we see some markers being set that will make it possible to look for trading ranges. The ideal range for the remainder of this week on the S&P is 702 to 732, a relatively tight range with a 717 midpoint. These levels may help if you need to do more buying.