Stocks Consolidating!! Breakout??

4 May 2021

Stocks have continued to maintain their range between 4188 and 4214. The volatility in the S&P has consolidated a bit and we appear to be forming a bull flag or bull wedge at the moment. This could suggest that stocks are gearing up for another breakout. However, the Kovach OBV has dropped off considerably so we must be aware of the down side risk. There is a vacuum zone down to 4144. If we can break out, the next target is fairly close, at 4227.