Market Was A Bit Extended Short-Term
Monday’s session saw the first close above the S&P 500’s upper Bollinger Band (purple arrow) since the current rally began in late December 2018. In early February, the market approached the upper band and then took a very brief pause (blue arrow). Tuesday’s session featured an intraday reversal that started from above the upper band (red arrow). As of this writing, the bigger picture remains constructive.
Recent Breakout Holding Thus Far
Three weeks ago the S&P 500 (SPY) had just cleared the 200-day moving average (shown in