Stocks Project Spike Highs & Multi-Week Pullbacks; S+P 500 (4300 – 4350) Target Remains in Place.

01/28/23 Weekly Re-Lay – Stock Indexes are slowly rallying after bottoming in sync with weekly & monthly cycles in early-Jan ’23 – reinforcing the lows set in late-Sept/mid-Oct ‘22.  A pullback is likely in the coming week(s)…

Stock Indices remain positive on a near-term basis while reinforcing congestion (and an ongoing bottoming phase since mid-June & late-Sept ’22) on a multi-month basis.  That congestion has taken the form of divergent lows with the strongest indexes bottoming in mid-June and then setting equal or higher lows in late-Sept/mid-Oct ’22.  Weaker indexes set lower lows in Sept/Oct ’22.

The next phase of that congestion was forecast for early-Jan ’23 – when another set of higher lows was projected for almost all indexes.  That fulfilled a web of ~16-Week, ~20-Week & ~30-Week Cycle Progressions in diverse indexes – pinpointing the ideal time for the onset of a new advance.

That has been expected to trigger an overall rally into [reserved for subscribers]… Stock Indices fulfilled their daily trend signals by rallying to new highs.  After rallying for a couple weeks, from intermediate cycle lows in late-Dec/early-Jan into mid-Jan – fulfilling their intra-month uptrends, stocks had a sharp pullback into Jan 20 that was unable to turn the daily trends down.

Wednesday’s spike lows – in most indexes – tested and held daily HLS levels and then closed above their daily trend points.  On a short-term basis, that projected a rally back to or above the Jan ‘23 highs.  That is not, however, expected to trigger any upside breakouts… just a slight expansion of the latest trading range.”

Stock indexes are fulfilling bullish 4-Shadow Signals (triggered in 4Q ’22) that projected new surges in 1Q ’23.  Indexes like the Russell 2000 & S+P Midcap 400 are nearing their upside price targets (accomplishing what the DJIA did in 4Q ’22) while the NQ-100 and S+P 500 are projecting higher levels in the coming month(s) (to at least ~13,800/NQ & ~4300/ES) before their advances would have a better chance of peaking.

Those upside targets – and how/when they are reached – should reveal a great deal about what to expect leading into key cycles in late-July/early-Aug ’23.

What Did/Does 4Q ’22 4-Shadow Signal Portend for 1Q ‘23?

How High Could Latest Rallies Reach?

What Would Likely Follow Tests of ~13,800/NQ & ~4300/ES?

Refer to latest Weekly Re-Lay & INSIIDE Track publications for additional details and/or related trading strategies.