If SPX breaks out here this could lead to a YUGE move up - potentially as high as 5000 into end Q1.
Divergence is present with flat SPX (~4700 ceiling) over recent weeks - with a rising VIX & VVIX.
This is mostly due to macro headline risks such as FED increasing tapering to end in March 2022 rather than June 2022 and uncertainty regarding Omicron variant. Both of these headline risks obviously remain of concern going into the new year so excercise caution...
SPX daily TF has painted a large ascending triangle (a bullish pattern) - which appears to be breaking atm however waiting to see if we get a daily candle close above the TL
I will be looking to see continuation higher in the first week of January - as this week and next have very light trading volumes historically due to Christmas holidays.