Commentary: On

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The plan this week to let the market test for a few days after Quad Witching to see if any new buys opportunities set up among the leaders and other prospects..

 Wall Street’s 3 major market indexes marked new highs last week were turned back at the Key resistance, and are now testing.

In April and May they did the same,the results were to the Southside. So it is wait to see the test, or a break of the Key support, and watch what happens.

If they cannot hold the Key support, participants will exit. If you were prudent you banked good money on the way up as the action started to slow internally.

It is a simple plan, pay attention, do not get greedy, make and keep bank, plus know there will always be a trade.

Wall Street will see earnings reports as a caution light.

Last week we saw some early beats, but they guided lower. FDX missed top and bottom line. ADBE guided lower. JBL missed top line, guided lower as well. Multinationals are complaining about the strength of the USD.

Poor results will be a problem for the and it will start pricing in ahead of results, savvy Wall Street participants do that.

So, watch for that.

If the indexes’ can hold and then breaks higher, then leaders that hold their patterns gains can run higher.

Remember it is now , and Wall Street goes on vacation and typically struggle in the Summer, recover, then struggle through the dog days of August into September into October.

This week will watch for a extension of Friday’s decline, watching the leaders ability to hold near term support. Some good stocks are already in position, ready to test, mark a good entry pivot, and break North.

Let them set up, and if they flash the buy signal, then act.

Pay attention, be nimble, the name of this game is to make money.

Have a terrific week.

Paul Ebeling

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