Monday, September 18, 2017

SPX and RUT: The Stuff of Nightmares

SPX made another new all-time-high on Friday, and has continued to keep its options open.  Again, as long as it continues holding support and there are no impulsive declines, the bull count has to be preferred -- so I've added details for the straightforward iteration of that count to the chart below (adding details to a standing bull count is sometimes the cue for the market to roll over -- just a head's up):

A few readers have requested an update to the Russell 2000 (RUT), so here's my best-guess on this one.  The thing with RUT is that there are complex patterns, there are very complex patterns, and then there are patterns that are the stuff of nightmares.  RUT's current chart is the type of thing that would be shown on an endless loop in a technical analyst torture chamber.

In conclusion, until we see an impulsive decline or see some support levels fail, there's just not much for bears to hang their hats on yet, so we have to presume the trend remains up for the time being.  Trade safe.

No comments:

Post a Comment