Stock Market Highlights - Week 17
Price action continues to make higher lows at the end of March, beginning of April, and once again tested the 17800 level last Friday. This was followed up with a bullish engulfing candle on the 20th. While there is still risk to the downside, the probabilities suggest there will be further upside. You'll see this when we look at the NASDAQ and SPX charts later.
The stochastic indicators at the bottom of the chart actually worked off some of that overbought territory. There is still room for the stochastic indicators to run above 80, which means we should be looking at breaking out of the channel. Again if it breaks below and fails, we have numerous support levels to watch for including the 17800 level and then the 17700-17600 levels.