No real changes. Just some Friday musings.
I have tentatively marked January 9 as the high of this NYMO cycle setting a benchmark price of SPX 2595.32.
While there is no evidence of a down cycle, NYMO has extremely rarely gone this high. So, I don't think Wednesday's high will be beat.
As long as NYMO stays positive (and perhaps even if it doesn't), bulls can still make progress.
It is very interesting to me technically that the NYMO top comes just as price tagged the bottom of the purple marked resistance sandwich.
Actually, let's call it a resistance burger...
The bulls have nibbled at the bun, but appear to be pausing here.
They need to take a big bite and eat into the whole beef patty between 2630 and 2650 to show they are really hungry. We shall see.
The open gap at 2650.54 could act as a magnet but the middle keltner, the 50 day MA and the top of the possible bear channel are now descending below that level.
Given the strength of this bullish breadth thrust, I'll venture to guess that the bulls will not simply turn tail here and retreat at first resistance.
I will be watching for an assault deeper into the resistance zone next week, perhaps to establish a beachhead at the middle keltner.
If bears are still engaged, we may see a battle for the burger...
Again just Friday musings. I don't know what will happen.
Still long the Russell 2000.