In summary, institutional cash, which is often deployed heavily at the end of January and the beginning of February, came rushing into the market. In just four trading days, SP-500 had recovered all of the losses and had closed at a new all- time high. SP-500 bottomed out almost right at 3700 on Friday, January 29th, so that is support. There is also support below that, at 3630. That is the one that is more important, because a violation of that level would take the market below its December lows typically the sign of an emerging bear market. For now, the line of least resistance is to the upside, so stay long and enjoy the ride.

Stay alert.

"Focus."

Where to focus:

For the beginner, execution.

For the intermediate, strategy.

For the expert, mindset.

 

In summary, stocks have struggled this week, but the SP-500 has managed to remain above support and the chart is still bullish, and that is the most important indicator.