S&P 500: Boring Price Action Is Bullish
2023.05.09 05:22
The finished Monday’s session up 0.1%. While getting excited about such small gains is hard, boring markets are bullish, especially ones following moves as big as Friday’s 1.9% rebound.
Stocks retreat from overbought levels quickly, so the longer we hold Friday’s gains, the more real they become.
This remains a choppy market, and we should expect lots of back-and-forths, but at the same time, something that refuses to go down will eventually go up.
S&P 500 Index Daily Chart
The fact we keep holding near 4,200 resistance means we will eventually hit and even exceed this widely followed level soon.
From Friday evening’s free :
Friday gave us the bounce we’ve been waiting for, and there isn’t much to do other than keep holding, adding more, and lifting our stops. We will be locking in profits soon, but we still have upside left, and it is worth holding a little longer.
Monday’s price action didn’t change anything. Keep holding Friday’s rebound and make sure our stops are at least as high as our entry points, making this a low-risk trade.
Slow is boring, but I don’t mind boring when it is profitable.
