Stating the obvious perhaps: the market is oversold, but it’s not extremely oversold. 

Consistency has been a missing element in this market environment; we’ve seen a number of pivot days, dramatic days and even a nice reversal day, but no follow through in any of those days. 

Yesterday’s expansive trading swings were similar to the reversals we saw on January 24 and late last month, but didn’t yield a positive close. 

Another all-too-familiar Monday rout with investors reacting to news from the weekend; and of course the indications that the Russia-Ukraine war could go on for quite an extended period. 

Escalating tensions in the war between Russia and Ukraine putting pressure on stocks this morning. 

“March comes in like a lion and leaves like a lamb.” It’s not just the historical weather report; I think that could prove to be the forecast for stocks. 

Another expansive trading swing for the Dow and the other major market indices, but the Dow holding at the upper part of its support band.

From a top-down perspective, the stock market is exhibiting a more resilient tone and reinforced by the underlying market where more stocks are exhibiting healthy technical trends. 

Last Friday’s dynamic reversal came one month after the January 24 pivot, which I think was the first indication of breaking downward momentum following weeks of unrelenting selling. 

The latest sentiment survey indicates that bullish sentiment is at its lowest level in months. This might indicate that bulls are throwing in the towel — a potential precursor to a meaningful trading rally.