Wednesday, November 1, 2017

SPX Update

I just realized it's now been a month and a half of updates with me saying, "No real change, the market still looks pointed higher."  I've yet to even seriously consider a bear option (beyond the very short-term) during this run -- so either I've gotten better at "suspending my disbelief," or this has been an incredibly clear bull pattern.  Dunno which -- since I flatly refuse to read anyone else's work (and have for years), I have no clue if everyone else has also stayed on top of this or not.

So far, there's still nothing to suggest bears have taken over (or that they're about to), but again, that can always change in a couple sessions.  In the meantime, we still have to be aware of the potential for an extension that runs SPX into the mid-2600's, as I discussed a month ago.

Last update expected we'd see some sideways chop, and we had that in the sessions since, but it remains to be seen if that chop will grow more complex or not.  Futures are indicating a breakout at the open -- if that whipsaws significantly, then we can stay alert to more chop.  If it back-tests the breakout and that holds as support, then we're likely headed toward 2600 next.

In conclusion, there's still nothing much to add to the big picture outlook.  But as always, we'll stay alert for any signs of a reversal.  Trade safe.

No comments:

Post a Comment