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Equity indices continue to grind in the short run, and near-term trends over the last week have been neutral as part of the downtrend from early February.

SPX is guided by a 130-point range with 3909 being important support, while 4039 is key to exceed to drive SPX higher.  Until last week’s high to low range is exceeded, it’s correct to call the near-term trend neutral, not bullish or bearish.

Technology has dropped off in relative strength over the last few days.  However, timing indicators suggest Tech should still push back towards highs in the seasonally bullish month of April.   Despite the minor drawdown, stocks like $AAPL and $MSFT have not broken uptrend line support of their rallies from March lows and remain well over support from December lows.

Thus, some mild rotation has gotten underway which has aided the Defensive sectors like Staples and Utilities along with Healthcare.

Energy to its credit has snapped back right on time given the combination of bullish cycles, bullish seasonality and bearish sentiment.  Additional strength still looks likely for Energy as this sector should begin to outperform.

Commodities have begun to spring back to life with outsized gains in the precious and b...

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