Not much to add from the prior update, except that hopefully bears were discouraged from shorting or quick to abandon any "almost zero risk" shorts after SPX broke 2252.
Today, we'll focus mainly on the bigger picture, since trying to trade near term waves in any direction other than "up," has been pointless lately.
First off, let's look at INDU, which suggests that the rally isn't going to form an intermediate top in the immediate future. Comparing this move with 2013 suggests that such a top could be forestalled for longer than would seem reasonable:
For SPX, the 2400 target remains on the table:
Meanwhile, RUT has continued its rocket launch. Obviously, this can't go on forever without a correction, but until there are clear signs of one, there's not much to do but ride the trend:
In conclusion, some type of correction is overdue, but this hasn't been the kind of move that's wise to front-run against. This is a third wave rally -- and just as indicators get pegged to the downside during third wave declines, they can get pegged to the upside during third wave rallies. Trade safe.
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