Jeff Clark's Market Minute

Today Could Get Noisy

After a week of going nowhere, the stock market is set to make a big move today.

The S&P 500 started the week at about 2800. It closed yesterday at 2815. So… yawn. 

Most traders would have been better off napping through the week rather than waiting for something to happen in the stock market. Now, though, all of that inactivity has stored up a lot of energy and has created a technical picture that could lead to an explosive move today.

Look at this 15-minute chart of the S&P 500…

This chart has morphed into a consolidating triangle pattern – which shows a series of lower highs and higher lows. It presents a period of back-and-forth choppy action, where energy builds as the chart gets closer to the apex of the triangle.

Nothing has happened in the market all week. But, energy has built up enough to fuel a big move, one way or the other, quite soon.

Recommended Link

Blockchain’s Biggest Opportunities Aren’t in Bitcoin

JPMorgan is preparing for the future by rolling out the first US bank-backed cryptocurrency to transform the payments business.

Why? Because cryptocurrencies are not issued by governments. Their blockchain technology quickly transfers payments with a clear record of the transactions.

And by the look of recent online activity, it looks like JPMorgan might not be alone in the crypto arena… Amazon bought up three domain names.

Amazon registered the new website address: www.amazonethereum.com.
And it registered another: www.amazoncryptocurrency.com
And another: www.amazoncryptocurrencies.com.

This may sound too incredible to believe. But when you look at the evidence, you might feel differently.

A 15-minute chart is ultra-short-term. Patterns in this time frame tend to play out within one or two days. So, traders should be looking for the market to break out of this pattern sometime today or Monday.

The size of the triangle, from the start of the support line to the start of the resistance line, measures about 40 points. So that gives us a targeted move of 40 points in the direction of the breakout.

In other words, if the S&P 500 breaks out to the upside of this pattern, then we could see a move as high as 2860 on the index. If the chart breaks to the downside, then we could get a move down towards 2750.

Like I said… it has been a quiet week so far for the stock market. But, based on the look of this chart, today could get noisy.

Jeff Clark

Reader Mailbag

How have you been trading this quiet market? What patterns do you look for?

And as always, you can send any other trading stories, questions, or suggestions to [email protected].

The Chance to Make Your Fortune…

Do you see the fortune hiding in this century-old $10 bill?

It’s not obvious, but you’re looking at a new agricultural mega-industry… And if you’re in now, you could become 40 times richer.

Click here to learn what it is… and how you could become wealthy in just the next few months.

Jeff Clark's Market Minute Archives

Jeff’s intuitive feel for short term market swings and his strong protective discipline have allowed me to lock in thousands of dollars in gains where I might otherwise have just ridden the markets up and down .”  -Chris, a reader and “seasoned investment advisor” from Seattle

Jeff -- your picks and analysis have been nothing short of amazing. I have traded the market for many years but I must admit, I have NEVER seen something this good.” - Mike H.

In only 2 weeks of using the service I’ve booked over $10K in profits. Needless to say I’ve paid for my membership.” - Tony J.

I started following Delta Direct about 3 weeks ago… I bought a small investment from one afternoon to the next morning. About 11AM I got out and made 8K in less than 24 hours.” – D. Tilghman