Recap The selloff scenario played out where the target of Y-3 was tagged. The strength of the rally in the 2nd half of the week is a bit surprising but not unexpected because that was a quarterly support level.
Outlook A retest of March close/high is expected. That can happen in 2 very different situations. First, if B-0 acting as support early next week, we get a quick zoom to the target. The other scenario, however, is a deeper pullback to Y-2 at a slow pace which means the upside target may not be tagged within the week.
Lawrence's Comment
Recap
Y-1 acted as support and forced a run back up to Y+1. Strong reaction there gave us a drop back down. Closed the week below Y-0 and midpoint.
Outlook
Outside week, ...
Dow 30 Apr 18 to Apr 22 Outlook
Lawrence’s Comment
The selloff scenario played out where the target of Y-3 was tagged.
The strength of the rally in the 2nd half of the week is a bit surprising but not unexpected because that was a quarterly support level.
Outlook
A retest of March close/high is expected.
That can happen in 2 very different situations.
First, if B-0 acting as support early next week, we get a quick zoom to the target.
The other scenario, however, is a deeper pullback to Y-2 at a slow pace which means the upside target may not be tagged within the week.
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