Moreover, with stocks at record highs along with recent improvement in fundamentals, the question changes from ‘when will Fed raise rates” to “Why isn’t Fed raising rates”.
The index is showing signs of weakness on 4-hr chart
A price-RSI divergence has been confirmed, has breached rising as well, the index now needs to breach support at 18,480 as that would add credence to divergence.
A weak closing would also confirm price divergence on .
Look at price and volume – The entire rally from Feb lows have been accompanied by falling volumes. People have just lacked trust in the rally and hence a correction appears likely.
A corrective move could take the index down to 18,300-18,250. On the other hand, a move above 18,636 would negate the divergence.