Looks as if the Markets were still working off their hangover from the Super Bowl last night because it was staggering all over the place today, and the indices all were operating apart from each other.
Looking at the daily charts of the Nasdaq and S&P, there is no real indication where the markets are trying to take us. While we have come off of our lows, it is not by much, but the consolidation could be a sign that the bulls are attempting to put together another run. But let’s face it, the last descent run that the markets had was back in late December, and it was pathetic at best.
So the best trading strategy going forward is to wait patiently for any major break in support or resistance, or until there is a clear break of the defined areas of consolidation.
Patience is Key!
Here’s the Nasdaq and S&P charts…