Despite massive stimulus, markets so far had trouble following through.
We are now in "the trenches" of various trendlines.
Although markets are heavily oversold on a medium-term basis, I suspect we are seeking a double bottom or are at least correcting the recent advance a bit.
As massive stimulus is lingering in the background, one has to be very careful now...
As the S&P is strongly oversold on weekly and daily timeframes and also have hit the 33% retracement of the 2009 bull market as well as the 2009 secular uptrend line, and we had major stimulus announced, we belive this rebound should last a bit.
Once the US realizes that COVID-19 will spread further in the US and likely can't be contained as effectively as...
Despite Rate Cut and ongoing "non-QE" which - since last September has reached about half a trillion USD in size, market continue to sell off due to the ripple effects that the Corona Pandemic will pose on global supply chains.
A first plausible interim support area would be around 2780:
• 23.% Fibonacci retracement of the entire bullmarket since...
A recovery rally in a larger volatile range within a late cycle environment and among deteriorating global macro data.
Take some profits now. There might be a bit more upside, but it's not worth it.
