The Fed "Put" is at a much lower level than previously. What if the new put line in the sand is the old pre covid high? Might they step in before more technical damage is done at that point and reverse their hawkish course before risking a deflationary crash to levels that the economy might struggle to print back from? Could it be like the old Bon Jovi Song? If it is, ohhh I'd say we're about halfway there.
We're on the wrong side of the 63 week Exponential Moving Average and the charts across the board generally look just awful still. We could bounce at the 4150 area, but we are likely to test it a 5th time before the fed meeting May 4th. Three times in March and once in overnight trading this week. The more often you test a trend line, the more likely it is to eventually break. Remember folks, bottoms happen on huge reversal volume, but the largest daily moves also happen in bear markets, so picking a bottom can be a dicey proposition.
We're on the wrong side of the 63 week Exponential Moving Average and the charts across the board generally look just awful still. We could bounce at the 4150 area, but we are likely to test it a 5th time before the fed meeting May 4th. Three times in March and once in overnight trading this week. The more often you test a trend line, the more likely it is to eventually break. Remember folks, bottoms happen on huge reversal volume, but the largest daily moves also happen in bear markets, so picking a bottom can be a dicey proposition.