The markets hesitated at resistance again today, as this level is starting to prove its significance. Both INDU and the S&P are at their 200-day simple moving averages, which are also major resistance levels for both. The Nasdaq is the weakest of the three, which is surprising since tech is usually a leader in bullish moves.
Today's hesitation was a healthy one for the markets, especially for the bull move up to this point. With consolidation comes the increase to probability moving forward. If stocks are allowed to correct, then we will see better opportunity moving forward.
We only have a few days left in March's expiration. There might not be enough premium left to justify March combos here, so consider looking to later weeks or wider spreads into April.
Have a great night,
The Maverick Trading Team
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