Stocks are definitely having trouble with overhead resistance near 4200. This has been a resistance area since last August (it was a failed attempt to close the gap on the island reversal, noted by the circle on the chart in Figure 1). Then it halted the rally in February, and now it has seemingly halted the current rally. Thus, the $SPX chart is not bullish, in that there is not only the resistance at 4200, but resistance at 4300 as well.
Join Larry McMillan as he discusses the current state of the stock market on April 17, 2023.
The rally that began in mid-March is persisting. Market internals remain positive, and that is finally having enough of an effect on $SPX (and the market psyche) to push prices higher in a relatively slow manner. Even so, there is formidable overhead resistance at 4200 and 4300, so the $SPX chart will not be outright bullish until those levels are exceeded (in my opinion).
Join Larry McMillan as he discusses the current state of the stock market on April 10, 2023.
The fact that $SPX broke over the downtrend line that had existed for most of February and March doesn't necessarily mean that the $SPX chart is outright bullish, though, for there is formidable resistance at both 4200 and 4300. It's just not a bearish chart right now. Several indicators are overbought at this time, and some of them might be issuing sell signals soon. In addition, $SPX has advanced above its +3å "modified Bollinger Band."
Join Larry McMillan as he discusses the current state of the stock market on April 3, 2023.
A rather large dichotomy is emerging in this market: the chart of $SPX remains bearish, while most everything else is taking on a bullish slant. This has happened before, and usually the negativity of $SPX wins out. However, each market cycle is different to some extent, so we will continue to watch these rather interesting developments.
Join Larry McMillan as he discusses the current state of the stock market on March 27, 2023.
As for the $SPX chart, it once again shows a lower high and lower low, since that February top. Moreover, the latest rally attempt, which began on March 13th, appears to merely be an oversold rally. It sprang from several rather severe oversold conditions, and it has now run into trouble at or just above the declining 20-day Moving Average a "classic" oversold rally.
Join Larry McMillan as he discusses the current state of the stock market on March 20, 2023.
