The markets are at critical support levels and are at the flash point as of today’s close. Tomorrows earnings releases by many financial companies (especially JP Morgan & Citigroup) will have a significant impact on the direction of the major indexes and the overall market in the weeks ahead. Distribution days (DD) have stayed persistently high and twice this week an older DD dropped off of the count only to be replaced on the same day with a brand new day of professional selling (DD). The S&P 500 crossed below and finished below its 50-day moving average for the first time since the post-election rally began. Normally key indexes, such as the S&P 500, trade above their 50-day lines in bull markets.
With the markets closed on Friday for Good Friday and Easter observance, expect a lot of volatility tomorrow. If things go badly, watch for the selling to spill over to Mondays trading session. If the news from the banks is good, it could act as a catalyst for investors and would likely ignite a short covering rally which could last to the end of the month. Stay alert.
Have a Triumphant day!
The information in this article is based on data obtained from recognized services and sources and is believed to be reliable. Any opinions, projections or recommendations in this report are subject to change without notice and are not intended as individual investment advice. Not to be used as legal or tax advice.
©2017 Triumphant Portfolio Management, LLC.