Spot On, 17 Mar 2023

16 мар. 2023 г.

🖼 Daily Technical Picture 📈

➤ Thursday trade saw the biggest one day gain of the year for equities. There cannot be any doubt of it's Bullish intent. For the past few days we saw prices being supported after bouts of selling pressure. This absorption of the selling is what has led to the huge move.

➤ I was spot on with that observation having taken a long position the day prior. I have now sold my position and sitting once more on the sideline. Price may continue to move higher but I'm happy to have grabbed a quick win along with a decent earlier win on the Short trade.

➤ The higher price gap was immediately filled and there are no more open price gaps at this juncture.

➤ What to expect next? Despite the bullish move, the price structure as I see it still provides an opportunity for a drop. The VIX remains elevated relative to recent history and may again spike higher. There is still fear in the market place. It's too early to say if the low set on Monday will be surpassed but there may be an attempt to test that if it will hold.

➤ Conclusion: I expect further trade opportunites next week.

NOTES: Tech continues to outperform. S&P500 has not made a new low, medium uptrend remains intact. Bank failures/support and recent economic data likely moving Central banks to a dovish tone.