The S&P 500 entered oversold territory on its weekly candle charts late in March, triggering a buying signal with a 100% accuracy rate over the trailing 15-year period. Oversold, as indicated by stochastic, reveals a market sold to levels below its true value, a situation in which anyone with a need, reason, or excuse to sell probably has, leaving nothing but buyers (or at least a buying bias) in the market. In this scenario, the index has just about nowhere to go but up, and that preponderance has already been confirmed.
