
Stocks recovered the 50 day MA on Thursday.

Stocks broke below the September breakout level on Wednesday to close below the 50 day MA. Stocks then broke lower on Thursday to print a bullish reversal. Thursday was day 42, placing stocks in their timing band for a DCL. Technically stocks still need to form a swing low. However, recovery of the September breakout level and the rising 50 day MA signals a new daily cycle.

Stocks are heading into the most bullish time of the year. If stocks can deliver bullish follow through on recovering previous breakout level and the 50 day MA, that could trigger a melt-up phase.
Leave a comment