The meaning of this rally is that the bear market is over and that is much more meaning than the other two rally's highlighted above. For that reason we'll see a rally that brings us *at least* as far. The bulls just rallied from 140 to almost 180 but have an ATH of $1550 in the back of their mind. From the zoomed-out perspective a 40 point rally is negligible.
You still believe we'll get a big correction shortly? Then wonder who would be providing the required selling pressure;
- The bulls that just made tons of money, are nowhere getting squeezed out of their positions and if any thing have more cash than before to take even more long positions?
- Or the bears that are out of funds or are about to getting squeezed even further?
We might see some small retraces and/or brief sideway actions on the way (mostly fuelled by opportunistic day traders that draw too many lines on their graphs, but they'll change direction as soon as they find out things aren't working), but rest assured this rally is far from over.
Perhaps a sign ETF approval is upon us?