Market Outlook for the Week of 4/24/23

Welcome to the Traders Market Intelligence Report brought to you by WealthBuildersHQ.com. This update is for Monday the 24th of April, 2023. Hope you’re having a fantastic day. I hope it was a profitable one as well as a profitable week. Let’s go ahead and jump right in, keeping in mind that everything we look at is for educational purposes and nothing’s meant to be advice or recommendations.

All right, so we had an interesting move in the S&P over the last couple of days this week, in essence, right? We pushed up right over here on Tuesday. We got to the recent swing high in there, and we failed and failed nicely. We gapped down and took a bounce up on Wednesday, Thursday, we gapped down below the eight moving average. Friday we opened about the eight. We pushed down, came back up. If we look at the intraday chart, you could see five minute chart, we had a nice, you know, up and down transition there. This one took a lot longer to get back up to that, make that triple top. We pulled back and we finished near the higher side of the day, looking at our five minute chart, right? So overall, not too shabby, baby, right? We’re downI mean up about 373, and that’s gonna make some of you feel really good. The S&P’s moving higher, but where are we at this point? We are at the eight moving average, literally right there. We close at 4133.52, and the moving average is 4132, 41. So we’re a 1.11 higher than that moving average is right now. So in other words, nothing. We opened up, we stretched down, we pushed up higher on the day. We came back down, we came back up just a little bit higher than we were on the close yesterday, and we settle there. It’s a doji style candle, right at a key level that could not break above that 41, 44, 59 level. So that’s important to recognize, to understand.

If we go over and look at the VIX, if we’re going checkin’ out the VIX, right? So we had the gap up and a pullback in there. We’re at 16.71 on a closing basis. Today, we have been lower. We have closed lower, but overall, nothing to be really that concerned about. This is an ideal VIX area for buyers. We’re seeing extremely low cost, short-term options, not on all stocks, okay? But extremely low cost, short term options as we’re looking at them, right? I, I’m not saying we’re out of the woods yet, but right now we’re gonna trade the market at hand. That VIX is great for directional trades, right? I’m still day trading. I haven’t converted over to any swings at this point. Oops, sorry. Haven’t converted over to any swings at this point. It is all still day.

If we go back and look at the S&P 500 more time, right? Uthat’s Vix that was interesting. $SPX, not V I X. So,s we look at the daily chart here, right, I want to take us over to the weekly. How weekly? Very weekly, every single weekly. There we go. We have been in this sideways pattern “riding along on my automobile.” We’ve been in that blue box, it’s blue just for the, it’s just the color I grabbed, but it’s not a blue zone, right? Not a health zone, but it is a zone to get an idea of support and resistance. Now, the last time we broke out of here, which was a couple, you know, months back, we hit up to the 4181 one time, two times third time at an 10th, bwe failed. We pushed up higher last week. We’re a little bit higher and closer to it this week. The question is going to be, do we tag into that 4181 and break it or make it right, make it through, or break and fall back to the down side on there?

And when we look at the monthly on the S&P 500, we look at our monthly chart. We’re getting a little bit of a rise up in this month, but still the last 10 months, nothing, nothing at all, right? We still have the Fed to be concerned with. We still have many of the economic reports to still be concerned with. We are not seeing the economy react the way that the fed wanted it to. Unemployment has not really been pulling back. We’re still struggling to get people to fill jobs, right? There is still a fairly high propensity that we’re gonna see a one quarter point increase coming up in this next update, which is in May the next rate hike, the decision hike, it’s gonna be there. There’s the debt ceiling. There’s a lot of things we’re dealing with. It seems very much a Republican against Democrat right now, and it is gonna be a head bashing, I believe, on debt ceiling. I think both are gonna say, “too bad, fall apart, we don’t care” without any ramifications of where it goes from here. And each one is gonna say, “see what the other one did?” You know, what do you call a thousand politicians at the bottom of the ocean? A good start, right? <Laugh>, that’s exactly it. Let’s go back one more time to the daily chart here.

All right, so what are we looking at for our key levels for this week? All right, so we’re looking on our downside. We have a great confluence with the 21 moving average at the 4093.74 level, right? Yeah. On the upside, 4144. 59, that’s a given. We’ve gotta clear that on a closing basis, when we do, can we put in a a lower high, a higher high rather, right? I’m gonna snap a swing high off of that wick right there. Can we put in a higher high than 4169. 48 mm and the 4181, right? And we’ll go one more higher than that since they’re right on top of each other. That 4195.44 is the next level from there. There you have, ladies and gentlemen, make it a profitable day. Stay focused on the quest of becoming a great trader. Keep crushing it. And remember, you’re just one trade away. Have a great weekend and I’ll see you next week. Bye for now.