SPX and COMPQ Updates

Lots of news since last update.  For starters, Trump's "big announcement" was that we've worked out a trade deal with the UK, so that's really great news for the 79 people who drink Earl Grey tea.  Also, on Wednesday, Jerome Powell announced the launch of a signature line of jarred fruit, called "Federal Preserves."  The hope is that they'll sell a few hundred billion jars this year and thus be able to square the remaining $6.7 trillion on the Federal Reserve's balance sheet.

So this is really bullish stuff, if you haven't been paying attention -- and the charts reflect that.  The market is clearly holding out high hopes for "Federal Preserves." (Don't tell the market that I made those up -- we don't want to cause a crash!)

As we can see on the SPX chart, there hasn't been much for bears to get excited about recently, so they'll now need to sustain trade and closes back below black and blue... though, be warned, at some point, the falling blue trendline (the one that runs from the all-time high to red b and beyond) might get tested (again) from above... and that wouldn't be bearish if it holds.

COMPQ is a bit more ambiguous still -- it has merely rallied back to the upside inflection point I suggested a month ago, but not yet beyond.  So bears can hold out hope for a rejection here:

In conclusion, so far, bulls have cleared every level they needed -- which tends to put the burden back onto bears to break those levels, to show they still have remaining firepower.  Trade safe.