Technical Strategy Video:

The video in this report is only accessible to members
The video in this report is only accessible to members

Key Takeaways

  • SPX 3-day gain has recouped more than 50% of the weakness from early January
  • Re-opening Trade looks to be kicking into gear, with sharp gains out of Casinos, Airlines, and Cruiseliners
  • Energy remains well positioned to outperform; E&Ps should be favored  

The Follow-through continues!!   February got off to a good start, representing the third straight day of gains and pushing up over 250 SPX points off the lows.   Breadth was positive by 2.5/1 bullish and four major S&P SPDR ETF’s managed to turn in gains of 1% or greater:  Financials, Materials, Discretionary, and Energy.   Overall, I expect this bounce to take the shape of “Two-steps forward, one-step back” but little to no real resistance at this point until 4582 which represents 1/10/22 intra-day lows.  The ability to exceed this would go a long way towards suggesting a push back to new highs is possible.  Until then, the upside might be limited to another 30-40 points before some consolidation sets in.   Overall, it’s right to have a bullish stance into the middle part of March, using dips as a chance to buy.

The video in this report is only accessible to members
Re-Opening Trade showing some signs of Life after a dis...

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