Friday, July 23, 2021

SPX, NYA, INDU: No Material Change

The market has continued to rally out of the last inflection zone, and is now approaching its prior highs:



In conclusion, the last inflection zone has held, and now bears are running out of real estate, as the next upside resistance zone is the ATHs (plus a little).  If bears can't make a stand there, then the oft-discussed option of an extended fifth will remain alive for now.  Trade safe.

1 comment:

  1. We have entered the frenzy zone. no charts or analysis necessary. The FED, like the naked Emperor declared his new fashion statement and no one dare question it. The coming weeks "Transitory" inflation will be on display with an already high expectation for spike numbers. In other words expect another stellar week unless the data is even higher than expectation. Unlikely since they padded the numbers. Because of the nature of this move expect mid-August to possibly display a longer deeper drop followed by an even more dramatic final thrust up before the real damage in Sept/Oct. Till then bet the 90 degree bull run continues.