The SPY continues to look weak as today is quad witching which means all sorts of games. We can’t seem to close over the 21 ema. Yesterday we got stuck right below it and today we are right ontop of the 50 day. You could argue we’re in a bull flag that is tightening up and getting ready to rip higher, this requires a deal with Iran and that could be on the horizon with oil sinking today. Or this could just be a bearish set of lower highs. The issue is this Iran wildcard. The market wants higher but it just can’t with this massive question mark looming that can negatively impact earnings. We’ve been able to withstand the oil market disruption for a few months but you can’t realistically do that forever so something has to give soon. Either we get oil to sustain lower and move away from the Iran war or that war and sustained higher oil is going to cause a big disruption to the market as long term realities settle in.
Scanner
Here are today’s large cap momentum scans from the database. Alot of energy and defensive names are here today which is never ideal for the overall market. The rest of the mid and small caps scans can be found in the database link below.
My Open Book
