Friday's breakaway gap to the downside in the S+P 500 ,resolving the Ascending Wedge Pattern
(As shown on the chart) is bearish technically,showing that the underpinnings or support
of this benchmark index continues to perceptively weaken, even as price rallies to all time historic highs.
That's inherently a warning sign,that this market is highly priced
top dollar merchandise,and it's getting more expensive as time passes.
However also noteworthy in my observations as a day trader
is that the market refuses to drop significantly thru any type of meaningful support
and importantly is turning bearish patterns into bullish resolutions,
which equates to a doubly bullish reselt.
When then bears cannot take the market down, you know that the big boys and the big money
simply do not want to take this market down right now.
This coming week,will see a slew of quarterly earnings from the biggest companies in America
as well as a Federal Reserve meeting mid week.
The Fed is on record that they will continue to support the market
with large scale dollar buying no matter what, till the ill economic effects of the pandemic subside.
Inflation in now brewing in the US as companies willingly begin to pass on price increases,
with businesses and consumers now being forced to pay higher costs in 2021 even in a supposedly pandemic ravaged economy.
This is the most unusual economy in the US that I have ever see.
There are no written academic play books on how to manage it, or for that matter invest in it.
My advise to you is to continue to follow the money.The very big money.Take your cues from them.
Until something substantial breaks on the horizon, this is a market that right now simply refuses to go down.
As a writer friend of mind observed this week,don't be caught "flat footed" by this market,
You shall, and will pay an exceeding high price,.if you do.
THE _UNWIND
1/23/21
Woods of Connecticut.
(As shown on the chart) is bearish technically,showing that the underpinnings or support
of this benchmark index continues to perceptively weaken, even as price rallies to all time historic highs.
That's inherently a warning sign,that this market is highly priced
top dollar merchandise,and it's getting more expensive as time passes.
However also noteworthy in my observations as a day trader
is that the market refuses to drop significantly thru any type of meaningful support
and importantly is turning bearish patterns into bullish resolutions,
which equates to a doubly bullish reselt.
When then bears cannot take the market down, you know that the big boys and the big money
simply do not want to take this market down right now.
This coming week,will see a slew of quarterly earnings from the biggest companies in America
as well as a Federal Reserve meeting mid week.
The Fed is on record that they will continue to support the market
with large scale dollar buying no matter what, till the ill economic effects of the pandemic subside.
Inflation in now brewing in the US as companies willingly begin to pass on price increases,
with businesses and consumers now being forced to pay higher costs in 2021 even in a supposedly pandemic ravaged economy.
This is the most unusual economy in the US that I have ever see.
There are no written academic play books on how to manage it, or for that matter invest in it.
My advise to you is to continue to follow the money.The very big money.Take your cues from them.
Until something substantial breaks on the horizon, this is a market that right now simply refuses to go down.
As a writer friend of mind observed this week,don't be caught "flat footed" by this market,
You shall, and will pay an exceeding high price,.if you do.
THE _UNWIND
1/23/21
Woods of Connecticut.