, I do acknowledge that shorting this market could prove challenging as it continues to resist the pull of gravity.
In other words, if you are a nimble, short-term trader, you can continue buying dips in this market. However, I recommend against making substantial purchases in the market, at least not in large quantities.It is important to remember that the Federal Reserve's monetary policy remains restrictive. Consequently, even if we witness a breakout to the upside, it will likely be limited. Surpassing the 4300 level would pose a challenge, but if achieved, it could pave the way for further gains.
Ultimately, the S&P 500 experienced a modest pullback, indicating a degree of fatigue after a positive run. The market's current focus is on reaching the 4300 level, but numerous simultaneous factors contribute to heightened market noise. Given the prevailing geopolitical concerns and potential risks, caution is advised. Although buying dips remains an attractive strategy for short-term traders, taking significant positions may not be prudent. Furthermore, the restrictive monetary policy of the Federal Reserve suggests that even a breakout to the upside may encounter limitations.