Market Outlook for the Week of 3/27/23

Welcome, ladies and gentlemen, to the Traders Market Intelligence Report, brought to you by WealthBuildersHQ.com. Now this update is for Monday the 27th of March, 2023. All right, my name is Robert Roy. Let’s go ahead and jump in, folks.

The market, just literally seconds ago closed up. I’m still waiting for the data to finish up here on my Omega charts, but I do have my green line drawn in there to show us. That’s where we closed. So very close to where we were. We’re in a neutral bias right now on the market. We did close higher on the week. If we go back and look at a weekly chart, we did close higher on the week than the open, right? There’s two weeks in a row now. We’ve had gains, even though we had some really ugly, ugly, ugly out put on the last couple of days. Yesterday was a higher close than the previous days close, but not a higher close based on the candle itself. So what are we looking at here? We’re in a mess. We’re in an absolute mess. We’re inside of all of our moving averages. If you look very closely, you will see two dot dash lines. Now, one of them is the orange one. If you look in the upper or left hand corner, the orange is the 233 simple moving average, and the purple is the 89 simple moving average. They’re both a dot-dash type line. They’re kind of buried in here right now. I mean, they’re… Everything! We’re just pinned everywhere with our moving averages. We had crossed the other day with the 33 and the 89. I do not use 200 or 50. You’re welcome to use any one you want. I just find much more accuracy with these two levels. 233 89, both simple. I go up to 55, exponential moving average. Anything above that is a simple moving average.

All right, so we got those moving averages in place and what’s happening there, guys, again, we’re finishing in that neutral bias. We’ve got some short term supports and resistances around the eight moving average, which right now is 3951. We’ve got the 21 moving average, which right now is 3964. So we’re, we just…we’re really close. We’ve got the fib lines of 3980 and 3929 just barely on the outside of that. But here’s the thing. We ain’t got up there on a close. We’ve gotta get back to where we were on Tuesday and close up here again. This fell on Wednesday. This whacked out candle on Thursday. Nice bounce, good recovery after the massive pullback on Tuesday, and we…no, Wednesday and Thursday. Not surprised to see a little bit of a bounce, and it’s kind of a “woo yeah, we’re just gonna chill out a little bit for the weekend now,” right? Let the bulls get a little bit back. I don’t know if we’re going back down, if we’re going back up, I still don’t see the strength in the economy. We’ve got a month, you know, 40 some odd days I think it is, until the next Fed meeting. So there’s a lot of speculation of what happens and where do we go from there, right?

If we look at the VIX for some perspectivelet me get you a little bit of a bigger picture. So, the last couple of days have kind of been sideways-ish. Big movements from high to low tops to bottoms, right? And I don’t really care about moving averages on here. That’s not really what I’m looking at. I’m looking at the positioning of the VIX itself. Where did they close? Where did the pattern move to? The bulls really tried to win here, and they could not just like yesterday, the bulls, you know, I mean the, the bears, sorry, they could not that strong stretch up bears right on the upside with VIX, that strong stretch up, they couldn’t hold on, right?

When we go back over one last time and look at the S&P 500, we push back down through that 3929 level yet again. So I am not convinced that we have beaten the bear back. If you look at yesterday’s low, look at today’s low, we broke down lower. Look at today’s open. We were lower on the open today, lower than the close we were on Wednesday, so we’re getting a lot closer to that 3929, that .618 to go clunk and pierce through that. If we do, if this happens, folks, where are we headed to next? We’re looking at 3866 as the next downside target. Keep your eyes on the blue lines. 4039. That is our next upside that we’ve gotta get through for our recent swing high. Or 3838.24. That would be on our bottom for our recent swing low, right? Of course, you still have the 3866.19 to get to. All right, ladies and gentlemen, there you have it. Make it a profitable day. Stay focused on the quest to becoming a great trader. Keep crushing it and remember, you just one trade away. Take care everybody. I will see you all at our next update. Bye for now.