A Box Range Perhaps?

By Licia Leslie

March 21, 2025

Hi Shoppers,

 

Our follow through rally failed yesterday leaving the bulls looking for reasons to stay bullish.


The S&P 500 Index (Ticker: SPX) has been honoring my pitchfork support for the last four days:

Will I hang my hat on that as bullishness? Nope.

 

We need a nice strong close over $5700 to kick a rally into gear.

 

The MACD is trying its best to go bullish, which it has in the S&P 500 Emini Future (Ticker: ES1!).

 

If we close below $5600, we will see $5400 very quickly.

 

With the April 2nd tariff date, we may just hang out here and not go anywhere.

 

The Japanese call that a box range.

 

As an option buyer, you want to wait for the market to trade outside that box range before hopping in.

 

We need more evidence.

 

Trade Review

 

Carvana (Ticker: CVNA) never traded below $163 but keep your eye on it.

 

Thank You for Reading … See You Next Tuesday,

 

Licia Leslie

Licia Leslie

Head of Technical Analysis

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Licia Leslie

Licia Leslie

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About the Author

Licia Leslie

Licia Leslie

Former CBOE floor trader and CIO at Karman Line Capital. Author of ‘The Option Traders Hedge Fund’ with over 30 years of options trading experience.

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