Despite the fact that supply emerged last week for four main US indices (S&P 500, Nasdaq 100, Dow Jones, and Russell 2000), the attempt to create a correction failed. Thursday’s closing was mostly a hammer (highlighted in blue), indicating a lack of downward commitment, which was reinforced by Friday’s bullish bar. Refer to the graphic below for the four US indices:
The market is still trending upwards. However, market breadth has not improved, and the price is clearly overstretched, all of which are red signs that the market is vulnerable to a market correction. The priority is still to focus on trade management.
Meanwhile, take a look at the stocks that are expected to soar in Week 28. To learn more about the trading strategy and the potential low-risk entrance, watch the video below:/n
