Old Fashioned Throwback

You can see on the S&P 500 daily chart below that the market is checking, or “throwing”, back after the recent rally. The moving averages just below, in addition to the support trendline dating back to the June 4th low, are also apparent. While it seems like we may need to retest those areas precisely, the more bullish scenario would be if the bulls arrive on the scene later today or tomorrow around current levels.

Either way, there is not much to do when the market seems to be benignly consolidating these gains. The process of letting charts firm up requires more patience on top of what we have already exuded this summer. Hopefully, it will be the last bit of patience needed before becoming aggressive.

I am watching for that higher low, with buyers arriving on the scene to buy up strong charts. Otherwise, more summer doldrums means more patience.

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