From Zero Hedge- "Following last week's last two day panic buying driven not by data (since in the US it has been delayed until late October and November, and elsewhere in the world it is just getting worse) but by the catalyst that the US isn't going to default (yes, that's all that is needed to push the S&P to all time highs) and just hopes that the tapering - that horrifying prospect of the Fed reducing its monthly monetization by $15 billion from $85 to $70 billion in line with the decline in the US deficit - will be delayed until March or June 2014 because, you see, the Fed isn't sure how the economy is doing, it makes no sense to even comment on the market. Squeezes, momentum ignitions, rumors about what Messers Bernanke and Yellen had for breakfast, Goldman's 2015 S&P forecast of 2100: that's the lunacy that passes for market moving factors. News, and reality, have long since been put in the dust. Just keep an eye on flashing read headlines, and try to buy (remember: anyone caught selling by the NSA is guaranteed a lifetime of annual IRS audits) ahead of the algos. That's what Bernanke's centrally-planned "market" has devolved to."
Looks like we're back to following taper talk to track the market which will be totally confounded for the near term as BLS BS data plays catch up. You can probably just mail it in for he next couple of weeks I'm guessing. Bad news is good news is ON, which should mean Risk On is ON, all hail the Christmas shopping season! Not sure how well they can ramp it from these levels. Long term resistance diagonals are in place and even archaic fundamental analysis using outdated metrics such as PE are even becoming a bit ridiculous.
Minis 4hr - Backtesting the yellow channel at pink channel resistance overthrowing a rising green wedge with negative divergences all over the place just under blue LT darket resistance diagonal. Ahh, once upon a time a rational person could consider shorting the market here with a high degree of confidence. Alas, no more. 1666 and the red support diagonal are critical support now. That's quite the raise from what was 1610is not too long ago.
More to come below. If you have not seen the comments section from the weekend post it is 150 extremely relative comments that are prolly the most awesome compilation of links on the new. Thanks to those that contributed.
Have a good week.
GL and GB!