Chart of the Day - Wednesday, March 16th, 2022

Today’s Chart of the Day was shared by Jim Denholm (@denholm_jim).  It’s a daily candlestick chart of the S&P 500 over the past six months. There’s a ton of noise out there today about what the Fed’s rate hike could mean for the S&P 500, but Jim points out that the near-term outlook is fairly straightforward. Bulls want to see price reclaim the March highs, around 4,415. A break above there would also invalidate that three-month downtrend. On the other hand, if we break below the February lows, around 4,115, it would signal a continuation of that downtrend. The S&P 500 remains in no man’s land for now, but we’ll likely see resolution within the next week.