Open Auction Day in StocksStocks are forming an open auction day, consolidating about yesterday's POC. They seem to be knocking on the upper bound of this range, indicating we may see a slow drift higher. This would make sense as the markets have been beaten down off trade fears for the past few days.
Keep in mind that a headline could send us careening up or down depending on whether it concerns Iran sanctions or a trade deal (positive or negative).
The Kovach Momentum Indicators have been solidly bearish the past few days, but have come to a bit of a stand still indicating that the markets are taking a breather. This would support our assertion that a small upside correction is in order. The Kovach Reversals indicator suggests we are oversold which portends that the pendulum will swing to the bullish side even if this is short lived.
