Recap Rising wedge broken yet no selloff. Consolidated above Y-0 and drifted higher. Breakout upside instead and tagged Y+2 in 1 go. Stalled from there and week midpoint acted as support. Closed the week at week high near Y+2.
Outlook Rare scenarios do happen and we just got that last week. The eerie thing is that it is like an exact repeat of what happened last year in its first 3 weeks. I warned about this potential last week already in my comment on Dow, so it is not really a surprise for me.
Most bullish bias on calendar dates is now used up. So a pullback is now possible but I do not know if a significant selloff is allowed. i.e. like dropping down to previous year close.
Lawrence's Comment
Recap
Y-1 to Y-0 has acted as resistance so far this week as price failed to move outside of this range.
Outlook
If a sell formation shows up in B-0 to ...
Lawrence's Comment Recap Y-1 to Y-0 has acted as resistance so far this week as price failed to move outside of this range. Outlook If a sell formation shows up in B-0 to ...READ MORE
S&P 500 Jan 21 to Jan 25 Outlook
Lawrence’s Comment
Rising wedge broken yet no selloff. Consolidated above Y-0 and drifted higher. Breakout upside instead and tagged Y+2 in 1 go. Stalled from there and week midpoint acted as support. Closed the week at week high near Y+2.
Outlook
Rare scenarios do happen and we just got that last week. The eerie thing is that it is like an exact repeat of what happened last year in its first 3 weeks. I warned about this potential last week already in my comment on Dow, so it is not really a surprise for me.
Most bullish bias on calendar dates is now used up. So a pullback is now possible but I do not know if a significant selloff is allowed. i.e. like dropping down to previous year close.
First pullback target is below 1470.
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