The market is continuing to explode above the Ichimoku Cloud. Let’s discuss what matters in extreme volatility and review our focused list for the week.
There are multiple monthly calendar events to review as we wrap up the end of the month and the first quarter. We have the ADP Employment report on Wednesday morning, followed by the Nonfarm Payroll job report on Friday morning. Both of these job reports could be catalysts that move what we call the “mamba” market.
And, the S&P 500 (/ES) finally ripped through the daily Ichimoku Cloud.
As long as the market is above the daily Cloud, we want to play this market to the upside. The /ES is back above all key moving averages, pushed out of the daily and weekly Ichimoku Cloud points, and retreated to the weekly mean.
Until the /ES arrives at our next major key range from $4,586 to $4,600, anything is possible. The market could completely roll over and revert or keep pushing higher, so be sure to avoid having a strong bias one way or another.
Here is our focused list:
SNOW — Expect price to move sideways or higher based on rebalancing and funds driving SNOW up to liquidity levels. SNOW is printing a 4-hour squeeze, so look for dip buys. We’ll watch for it to fill the gap from $240 to $250.
SHOP — Has shot higher due to rebalancing toward liquidity. Look for a bounce off the range from the Friday low at $666 and the daily mean at $675 up to point of control (POC) at $703.
Stay Focused!