..and nary a pullback to drink. Let alone a bona fide correction.
Even the DDM and DIA boards are mostly bearish. I've never seen anything like.
Pessimism abounds. Doom and gloom.
Market's going higher.It's about to break out of an obvious rising bullish wedge and nobody on these boards even sees it.It's bullish because the stochs became more oversold every time it tested support until Dec 10th when they broke out and crossed bullish.And the 200 day MA is curled bullish and rising.
XLF is on the verge of breaking through two year downtrend resistance.That would be the final technical nail in the "bear rally" coffin.
It's a bull market,yet few retailers will accept that.Or maybe I should few retailers who focus solely on ETF's.Those who trade individual stocks see the earnings reports and have better handle on what's really happening.
Yes,there will be a correction somewhere along the line.Maybe after the NEXT breakout from consolidation,which will be the SEVENTH time we've been through this since March.
And yes,maybe this wedge does fail.But since nobody here is talking support levels it seems few here will know when the correction is actually confirmed.
So here's some S&R levels to help you out.
All the major indexes are trending up. But most traders follow the S&P
Because it's forming a rising wedge against hard resistance - 1119 - all support is now jammed together.Bears would be happy to know support is so tightly packed together it could all crumble in a single ugly session -
Today's close 1109
The top of the bull channel is 1167
- 20 day MA 1103 - Uptrend Support 1098 - 50 day MA 1088
19 points on the S&P is all that stands between the current level and breaking all support.The next logical target would be the 200 day MA - now 965 and rising. But a breakout on the S&P above 1120 probably carries it to the top of that channel,yet again,this time 1167.
S&P closed the day oversold on the 60 min stochastics.The daily stochs crossed bullish on Dec 10th.The RSI is at 56.5 and has broken out of a three week downtrend that bottomed at 46 on Dec 8th.
One little push is all it will take to break resistance and send the S&P towards the top of that channel.A 45-50 pt run. For the Dow the top of the bull channel is 10,750
Its is always nice when someone else confirms your own view. While I think there could be a bit more downside say another 100 points max on the DOW the upside potential far outweighs the downside risk. I also agree the the upside target is 10,700 to 10,800 on the DOW. Happy hunting