If you follow the data, then the S&P 500 looks unstoppable right now. I know it does not make sense based on the economic data, but the trend lines are well defined. At some point the VIX staying flat while the trend is so strong will catchup to the market. However, it looks like it will easily hit 3080 by month's end and then will any thing stop it as it rises through 3140 and then hits 3200? Maybe any serious pullback happens at 3200?
Comment:
Well, SPX turned on a dime at 3:15 and fell right to the middle of the red ellipse I marked as "End of Month", thus erasing the day's gains and finishing in the red. The real question is will it continue its drop tomorrow morning like the past 2 months or will it be back up?
