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So you're telling me there's a chance
Midweek Market Update March 29, 2023
It’s been a pretty quiet week so far in the markets. Probably the biggest news has been a lack of more banking problems, a BABA restructuring plan, and earnings from LULU that was much better than expected.
MU announced also and wasn’t a complete disaster so that stock is up +5% or more today.
Friday we’ll get the latest PCE data, which is the Fed’s preferred inflation gauge.
The Charts
SPY is finally trying to move out of its pinched zone. It’s not running away higher, but it did move above the swing high anchored VWAP and its 50-day MA. There’s a chance this opens things up for a move higher. But with PCE and the end of the quarter coming Friday, we could see more false starts.
QQQ has been working sideways in a bullish fashion. The longer it stays up here the higher the likelihood that it breaks the $313.68 pivot and starts the next leg higher, which could have room all the way to $333.
IWM is in repair mode and trading back above its 8-day EMA.
DIA is showing a fake-out from the bearish consolidation pattern and is back above its 8/21 EMAs, the 200-day SMA, and the 325 support/resistance line.
DXY - The US Dollar continues to drift lower, easing some pressure on stocks.
VIX - Volatility remains sleepy and drifting lower as well.
The markets almost look like they want to go higher. But so far the move isn’t very convincing.
There is some positive change in the “beneath the surface” factors mentioned in Friday’s note. We’ll look at those again this Friday and see how they hold up.
Finally, if you’re on Twitter you may have noticed some of the charts have a different appearance and a different logo.
There’s more to that story coming soon. In the meantime, click the link to read about this special group at T3 Live.
***This is NOT financial advice. NOT a recommendation to buy, sell, or trade any security. The content presented here is intended for educational purposes only.
Andrew Moss is an associated member of T3 Trading Group, LLC (“T3TG”) an SEC registered broker/dealer and member of FINRA/SIPC. All trades placed by Mr. Moss are done through T3TG.
Statements in this article represent the opinions of that person only and do not necessarily reflect the opinions of T3TG or any other person associated with T3TG.
It is possible that Mr. Moss may hold an investment position (or may be contemplating holding an investment position) that is inconsistent with the information provided or the opinion being expressed. This may reflect the financial or other circumstances of the individual or it may reflect some other consideration. Readers of this article should take this into account when evaluating the information provided or the opinions being expressed.
All investments are subject to the risk of loss, which you should consider in making any investment decisions. Readers of this article should consult with their financial advisors, attorneys, accountants, or other qualified investors prior to making any investment decision.
POSITION DISCLOSURE
March 29, 2023, 4:00 PM
Long: AMZN0421C102, SQ0414P65
Short:
Options symbols are denoted as follows:
Ticker, Date, Call/Put, Strike Price
Example: VXX1218C30 = VXX 12/18 Call with a $30 strike