I follow three chart guys and two are making the case for a higher move and one is saying the same as flight_ here. I will say all three are saying the next two days will tell the direction. If we break lower then that will be the trend for a while and if we break higher you can see 1300 on s&p by year end. I think we will know clearly a few hours in to trading on Monday.
I also think the market is so controlled and manipulated by the fed pumping money in to the system I truly do not see how it can go down? I don't really see how charts work based on historical moves since we are not going through anything we have ever seen before? The Fed wants to pump up the market and create a "wealth affect" to carry this country through the very rough patch he knows we are heading in to. Problem is that he is turning the "rough patch" in to a monsterous crater with the bubble he's creating. When this thing does finally go down I want to be as far away from holding anything long as you can be.
I see a mini rally to side ways movement to sp1210 area this week. Historically thanksgiving week has always been bullish. As you mentioned flight, the financials are the ones to watch (xlf). They had a false breakout, lets see if XLF can breakout of its previous channel. FAZ will be looking good by friday in IMHO. Sp1150 looks like the new bottom in two weeks and then big rally to 1250-1300 by year end. GLTA