Mid Quarterly Flips

Time for markets to make a decision?

Good afternoon and Happy Sunday!

We have commenced another week and not much progress was made, unfortunately. We knew this could potentially be the case, especially in this 5600-5700’s mid consolidation range. There was odds of delays, similar to back in March and remaining stagnant for a little bit. We had odds to break range as early as May 5th-9th and some extensions through May 12th-15th, as late as May 21st through 28th. The goal was to try to meet some conditions and break ranges ahead of end of May, in order to negate some of the massive risk we face.

Just as I discussed in the prior report, there are multiple bear-like structures that run until May 21st-28th-June 3rd. We already know how much risk we face from now until potentially end of Q2, early Q3, if we do not negate the downside range and retrace, ahead of month-end.

The importance of negating these structures is critical now, especially as we approach the 5800 mark once again. The last time we tried to retest, we stalled our 5838 annual range on March 25th flip date, bringing us all the way back to the 4800’s. We already know that the second time around, the market most likely won’t sustain and this could put us in the realm of another 1300-1400 point range.

Considering we have CPI this week, this may help give us the push we need but as long as the metrics are met on time. Let’s review.