Weekend Power Snapshots

May 4, 2024

Let's Start Here

Weekend Power Snapshots compile the daily snapshots to show how the week progressed. It will be part of the elite memberships and sent out each weekend. These quickly show where each segment stands on the long, intermediate and short-term views from breadth and momentum perspectives each day of the week.

Another week of discovery as the bounce continues. This week it got its first real challenge at a resistance zone. First strike, it looked like buyers were going to cave without much of a battle. Large Cap stars were taking hits on earnings even when they weren’t that bad, just not good enough. But under the hood the breadth wobbled, but sellers couldn’t seem to keep it together for the whole week. Moving Average Snapshots dropped off hard into Tuesday, but have been clawing back ever since.

RSI trends held decent throughout the week, it dipped early with the rest, but most momentum continues to work off oversold levels and are not back to overbought yet. Actually, many RSIs have moved back up into the high 50s. This puts them right below the 60 threshold for the RSI bull range shifts. Now is where I start to look for rejections and reversals in conjunction with bottom/top resistance points.

Short Term Snapshot is seeing strong new highs after a lot of new lows early to mid week, the Moving Average readings are still recovering.  

Pressure gauges were pretty red on Tuesday, but since then the buyers have been wrestling back some control.

Tuesday we didn’t see but a speck or two of green, then it began to turn and by Friday, it’s looking good. The spread from the 10 day highs out to the longer periods is good progress.

Lows Snapshot has been pretty quiet since the bounce has started. There have only been a few spots and days like Tuesday and Wednesday where the bears have pushed back and made any headway. I would expect more pink hanging around even during this rebound attempt. It seems the breadth is repairing itself pretty quickly.

The weekly RSI positive reversals are working this week with a second positive week as buyers fight to pull it out. This was the first challenge of the rebound and the buyers took it, but now the markets are right up to underside (bottom/top) resistance as daily RSIs near the 60 level. If buyers can capitalize on this and push through, we might be done with the correction, but if we get a hard reversal here, we probably have another week or two of correction and further down to retrace. We will be following it daily to see where clues come from.

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As always, I hope this helps!