• SPX Monitoring purposes;  Long SPX 3/14/18 at 2749.48.
• Monitoring purposes GOLD: Short GDX on 3/6/18 at 22.02.
• Long-Term Trend SPX monitor purposes: Long SPX 3/14/18 at 2749.48.

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Yesterday the TRIN closed at 1.43 and the Ticks at -261, and today TRIN closed at 1.37 and the Ticks at -133. A bullish combination is suggesting that a bottom could form as early as today to as late as tomorrow. Support is near 275 gap area on the SPY which was tested today on a lighter volume suggesting that the gap area has support. The next potential upside target would be the 282 to 286 region on the SPY. Long SPX 3/14/18 at 2749.48.

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Today’s pullback tested the March 9 gap on a lighter volume suggesting that the gap has support. Today’s pullback did not close the gap completely and the market could push lower tomorrow and close the gap before heading higher. This is March options expiration week, which is the second most bullish option month (behind December) with a percentage of being higher 69%. March options expiration month has the highest total gain of all twelve option months with December and April coming in second and third. The next potential upside target would be the 282 to 286 region on the SPY. 

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On the middle window is the monthly GDX with its Bollinger band and on the window below is the monthly GDX/GLD ratio with its Bollinger band. You can notice that both Bollinger Bands are pinching, which is suggesting that a large move is coming.

Both GDX and GDX/GLD ratio are below the mid Bollinger Band which also has turned down suggesting that a large move is ahead. On the bottom window is the Slow Stochastics for GDX which also has turned down and gives credit to the potential pullback. We have noted in our reports that a pullback in GDX to the December 2016 low (18.50) is a possibility and the monthly chart supports this scenario. With both Bollinger bands pinching, volatility will be picking up in the coming weeks. Short GDX on 3/6/18 at 22.02.