OK, everyone is back to work. Let's celebrate (till the revisions of the revisions come out). Add to that the astounding GDP and we're in a real live recovery (pay no attention to that mountain of debt behind that other mountain of debt over there). Bottom line is that the Fed and government want the market to go up and so it will.
Employment data spiked the minis right to the resistance diagonal and to just under the resistance I have at 1104. Not sure what load of crud Barry is going to deliver in his speech later this morning, but since I can not stand to look at or listen to him, you'll have to tell me what he says.
Writing the below is totally against everything I believe in and know is right.
There has been no retracement to speak of. This move blows price thru the 61% retracement off the 1130 top. There should be some sort of pullback before (puke/cough) further strength. The minis stopped right at the upper diagonal that should be defining the upper range of this move. Is it possible that price (the Fed) wants the new upper diagonal that is formed from the 07 across the top this year near 1150? Based on the weekly chart below it looks to me like we're in C up of the ABC corrective wave 2 of P3. The daily charts are very bullish as well.
Chart is best viewed HERE.
OK, there has been zero retracement on the last 50 points of the SPX move up. It will give something back sooner than later. At this resistance diagonal and with the big gap up this morning, some of it should get filled. Do not take your eye off the prize (a real depression), this government induced charade will end, and the more they extend and pretend the worse the back end will be. After GDP and all the support at 1040 this number should have been expected. the lies and deception will be revealed one day, but as I stated yesterday, they want nothing but big + signs in the stock section of your papers over this weekend and a "positive" buzz as everyone gets together this weekend for the holiday. Reality will set in sooner than later. Till then enjoy the ramp. Remain LT bearish my friends.
Have a great holiday weekend and stay safe. Thanks for the views and support.
