Wednesday, March 31, 2010

Market technicals suggest correction or consolidation preparing for next move

It's good to keep an eye on various indicators and today's is no exception. The TRIN spiked well up, suggesting the market is starting to get oversold. And the McClellan Oscillator (see $NAMO chart for Nasdaq below) has been digging for a bottom to turn up from. Meanwhile, the bullish percent for the S&P 500 index isn't really rolling down, but if it does it can get support at its own nearby moving averages. All this as the major indices have been twisting sideways almost "waiting" for 20 dma support to arrive.

Given the new month new money idea, we could see the markets start to firm from support soon. Just allowing for an April Fool surprise which is always possible first!

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