Interim top or does the rocket ship ride continue?
The manic market continued it's ways today reversing an early decline to finish mostly higher. It really shouldn't be surprising as this is the action we've seen continuously since the March low. And by the way.....the pace of the advance is FAR from normal.
If measured in percentage gain per day since the bottom, this is the second fastest pace of advance ever at .53% a day. The leader is the advance out of the 1937 low. The advance this one shares second place with is..... drum roll please.....the 1929-1930 advance!!! Funny how everything seems to keep correlating with that period.
The question now is does the market top near here or not. The broadening top formation I've felt was in play is still operational. In fact, the market has formed another smaller BT during August and even a smaller one this week.
SO, if it is a BT pattern, it will show itself soon, perhaps with after one more push to 1050-1060. But if it pushes through those levels, it's not gonna stop.
The S&P is now in the "air pocket" between 1000 and 1200 where the collapse took place last October. There is NO resistance in this area on the chart to speak of, so any resistance that exists will come primarily from Fibonacci retracement numbers.
1060 first, then 1120, then 1160, then 1200, and lastly 1258 or so. These are the numbers using both the November low and the March low as the bottom. So far it's only bettered 1014, the 38% retracement level off of the March low.
Don't try and make any sense out of the price action. Fundamentals and value have ZERO to do with what's happening. It's really had zero to do with it since about 1995 if you get right down to it. You'll hear talk of these things being important on financial channels, but they're not. It's simply people looking to explain and justify any moves that occur.
Do not forget...this is THE MOST DANGEROUS FINANCIAL CLIMATE OF OUR LIFETIMES. Don't start thinking you're a genius all of a sudden because you bought something and it went up. Remember, it's not what you "make", it's what you "keep" that matters.
If measured in percentage gain per day since the bottom, this is the second fastest pace of advance ever at .53% a day. The leader is the advance out of the 1937 low. The advance this one shares second place with is..... drum roll please.....the 1929-1930 advance!!! Funny how everything seems to keep correlating with that period.
The question now is does the market top near here or not. The broadening top formation I've felt was in play is still operational. In fact, the market has formed another smaller BT during August and even a smaller one this week.
SO, if it is a BT pattern, it will show itself soon, perhaps with after one more push to 1050-1060. But if it pushes through those levels, it's not gonna stop.
The S&P is now in the "air pocket" between 1000 and 1200 where the collapse took place last October. There is NO resistance in this area on the chart to speak of, so any resistance that exists will come primarily from Fibonacci retracement numbers.
1060 first, then 1120, then 1160, then 1200, and lastly 1258 or so. These are the numbers using both the November low and the March low as the bottom. So far it's only bettered 1014, the 38% retracement level off of the March low.
Don't try and make any sense out of the price action. Fundamentals and value have ZERO to do with what's happening. It's really had zero to do with it since about 1995 if you get right down to it. You'll hear talk of these things being important on financial channels, but they're not. It's simply people looking to explain and justify any moves that occur.
Do not forget...this is THE MOST DANGEROUS FINANCIAL CLIMATE OF OUR LIFETIMES. Don't start thinking you're a genius all of a sudden because you bought something and it went up. Remember, it's not what you "make", it's what you "keep" that matters.
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