I hope everyone had a good weekend and a Happy Easter. I was out-of-town visiting family this past weekend so I did not have time to write a full Technical Market Outlook, but I do want to share a few thoughts….
-With the bullish move we had last week the trend of the S&P 500 ($SPX) is back above its 20-day and 100-day moving averages. The 100-MA has been an important level of support for the current up trend and it was good to see it hold on that short-term drop.
-Breadth has improved along with momentum as the Relative Strength Index held the level of support I mentioned last week. The NYSE Advance-Decline Line hit a new high but the Common Stock-Only Advance-Decline Line has yet to break out.
-This week I’ll be keeping a close eye on commodities. Specifically the PowerShares Multi-Sector Agriculture ETF ($DBA), which is closing in on its March high of about $29. I’m looking to see if ag commodities can break out or if the divergence that may be developing in momentum and volume keep this asset class from experiencing a second leg higher.
Be sure to check back later this week I’ll have some more content up on the blog. Have a great week!
Disclaimer: Do not construe anything written in this post or this blog in its entirety as a recommendation, research, or an offer to buy or sell any securities. Everything in this post is meant for educational and entertainment purposes only. I or my affiliates may hold positions in securities mentioned in the blog. Please see my Disclosure page for full disclaimer. Connect with Andrew on Google+, Twitter, and StockTwits.