Time corrections in price often lead to a quiet market

If you remember back to last week’s edition of the SharePlanner Reversal Indicator, I suggested that with the immediate bounce back the market was seeing, that it is likely we head right back up to the all-time highs and consolidate yet again in the price action. So far that seems to be the case as the bulls have us back into that month long box. 

But when you look at the weekly chart of the SPRI below, you’ll see that it is holding that current trend-line rather well. It is barely holding on, but it is holding on nonetheless. And that is no doubt, important for stocks going forward. 

There is also the case to say that this market isn’t necessarily boring, but actually extraordinarily resilient. I mean think about everything it has bounced back from: Brexit, unexpected Trump Election, ongoing terrorist attacks, Russia witch hunt, and even China being downgraded by Moody’s last night. And honestly, I haven’t even addressed probably half of the issues surrounding the economy.

Nonetheless, the market marches on.