🖼 Daily Technical Picture 📈
➤ Equities finished strongly to end an outstanding month. The enthusiasm is palpable, however, I'm a skeptic of market conditions for two reasons:
i) Many believe we are back in a bull market. I think this is pre-mature. A monthly close above 411.73 will change my mind. The market did not achieve this just yet. The current level of the S&P500 equity index is where it was in May 2022. The market has moved laterally. Furthermore, the move since the October 2022 low looks very laboured. It's not a fast rise, each step up is very small. It's not displaying the kind of strong buying with confidence.
ii) In the very short-term, I also don't like the way the price finished today. It may be a minor observation but I don't like to see a bullish bar finish below a recent high (27th Jan 2023). Why stop just short of the high and not exceed it?
➤ I closed my small long position to wait for the next opportunity.
➤ Conclusion: Back on the sideline but not for long.
➤ Equities finished strongly to end an outstanding month. The enthusiasm is palpable, however, I'm a skeptic of market conditions for two reasons:
i) Many believe we are back in a bull market. I think this is pre-mature. A monthly close above 411.73 will change my mind. The market did not achieve this just yet. The current level of the S&P500 equity index is where it was in May 2022. The market has moved laterally. Furthermore, the move since the October 2022 low looks very laboured. It's not a fast rise, each step up is very small. It's not displaying the kind of strong buying with confidence.
ii) In the very short-term, I also don't like the way the price finished today. It may be a minor observation but I don't like to see a bullish bar finish below a recent high (27th Jan 2023). Why stop just short of the high and not exceed it?
➤ I closed my small long position to wait for the next opportunity.
➤ Conclusion: Back on the sideline but not for long.
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✅ Copy My Trades @ eToro, www.etoro.com/people/mrstocky
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Not Investment Advice
✅ Copy My Trades @ eToro, www.etoro.com/people/mrstocky
✅ Verified Track Record 📈
Not Investment Advice