Resistance at the top of the trading range

Wednesday, June 14, 2017
What To Do?
Short Term
Short-term bears should stay short stocks with relative weakness.
Short-term bulls should stand aside but have your buy list ready for purchase.  We are currently holding both long and shorts for our ProTraders.
Intermediate & Long Term:
Intermediate and long term positions to the upside should be maintained.
There are no intermediate or long term opportunities to the downside.
Market Trends:
Intra-day: Neutral
Short Term: Neutral
Intermediate Term: Up
Long Term: Neutral
The stock market, as measured by the Wyckoff Wave opened unchanged, and then drifted lower heading into the Fed announcement, and then some sideways volatility after the announcement.  We closed lower on the day on a slight increase in volume.
The O-P traded sidways today.
The Force Index is trading at -119.
The Technometer registered overbought yesterday and still near those levels at today’s close.
The S&P 500 and Nasdaq were both down fractional today.
 


A review of the intra-day waves shows the Wave stair stepping lower until a late rally brought us off the lows.
The O-P continues with its sub par performance of the last few months.
The Force Index is not giving many clues here.  Slight divergence with price when compared to 10 days ago.
On Thursday, the Technometer will open near an overbought level.
 

 
We have still been expecting the Wyckoff Wave to work back towards the bottom of the recent trading range we have been locked in for months.  With our Wyckoff Tools this still appears the likeliest outcome.
 

 
We had mentioned the TLT in our “Week In Review” had an oversold Technometer and we was looking to buy.  We did just that for our ProTrader’s Model ETF Portfolio on Monday.  Today’s rally took us away from the danger zone, and now allowing us to raise our stop to breakeven.  We would expect continued strength from the TLT.
 

 
Good Trading,
Todd Butterfield