Summer Consolidation Continues
Since the historical winning streak was broken, so far this month we have seen tight consolidation through time and rotation as every minor dip is aggressively bought.
It is good to see you my friend. I hope this finds you doing well this holiday weekend.
Let’s take a moment to review where markets currently stand three weeks after the historic winning streak ended in the S&P 500.
The Bottom Line
The market is consolidating through time and rotation rather than through price. As we’ve seen numerous times, this is bullish until proven otherwise in this bull market.
Sellers have had numerous opportunities recently to take control, including after the Fed meeting, but buyers are not slowing or halting their buying of every minor dip.
Price is consolidating and coiling inside June’s high and tight trading range, with leadership, breadth, and momentum still favoring higher prices.
