Pushing over top of Bolly Band. 400 pips above the 50DMA. Last time we saw this it gave up 100 pips in 2 days. But it could still go to the 0.786, another 100 pips above. After a melt-up like this the price may continue to creep higher for days, then give a retracement, printing a 'fishhook'.
PA on 6/15 was astonishing. Opened and closed twice thinking; "That was the top!" then watched in amazement as it bulled another 20 pips... twice. Blowoff top?!
Short-killing, massively overbought condition. Buying up here is unlikely to be rewarding... but shorting it here could be even more disappointing.
A Chinese invasion of Taiwan would bring it to a full stop, eh? Would not short on a Friday, even triple witching. Early chop could give way to another leg up...
If price prints a bull flag in early trade, as it did Thursday, could get another massive short-covering rally EOD.
The rally in tech issues may be nearly done. Extremely overbought conditions with some issues (MSFT, AAPL) printing new ATH, trillion dollar caps... frothy exuberance.
The broader market has lagged tech until this week. Rotation in and out of small caps smacks of speculative manipulation.
Expect more of the same in the coming days. Yesterday's winners become tomorrow's losers. Trading tops is tricky. Maybe better to stay in cash until we get a pivot signal imo.
Standing in front of this train has been a poor strategy but could pay soon... due for a correction imo. When it comes it will be as surprising and astonishing as this rally... back over the same range. Again.
Trade active
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Closed shorts with SPX around 3970. Look for re-entry on any bounce. Did okay, not spectacular...yet.
I believe a short pullback 2-3% possible...but I think we ultimately reach ATH's by end of summer. IMHO of course...I am really just an dummy who has mainly likes to observe the market.
The_Unwind
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Be Careful....Seriously. Breakout in S+P 500 Futures Continuous Chart shows that this rally could go back to the All Time S+P 500 High 4819 I'm short NDX with SQQQ, but its only a tight trading stop. Best of luck.