I stated some time ago that I was a short-term bull as far as the major stock indices.
As the market continues to evolve, I am noticing that simple price action has not led us higher. Instead, a channel of price, or … a ‘dealing range’ has developed. On the March E-mini S&P 500 Futures, we find the upper range of about 1911. Price needs to push through 1911 for us to remain bullish on stocks.
On the opposite side, we have support near 1850, and again at 1820. If these are levels are violated, then the bears could be back with vengeance. The range is thus between 1911 and 1850. Until either of these levels are violated? It’s simply a dealing range.
On the longer-term charts, I believe that momentum of price action is pointing towards lower prices.
So while I remain short-term (3 to 15 days) bullish on stock indices? My bullishness is thus waning as the market seems to simply be digesting the earlier move lower.