SP500 Weekly Closes Up – For Sixth Week In a Row

S&P500 Weekly -

The SP500 continued its winning streak – sixth week in a row up.  Volume was down – bearish.  Ten companies of the 500 in the SP500 reported 90% of the total earnings.  This is not a sign of strength.  The Fed continues to pour billions each day into the markets to keep it up.  If and when this government intervention stops, the markets are likely to fall sharply.  We are still below 1576 – the all time high and the next level of resistance.  The MACD remains up and still shows bullish.  The 8MA is also showing bullish.  We are still counting this as primary wave 2 up, although this is likely to change soon.  A break beyond the all-time high in 2007 will change the count to a cycle wave b up followed by cycle wave c down – in line with the NASDAQ100 count.  Once this market push up ends, we expect a substantial drop to follow – the start of primary wave 3/cycle wave c down.

Click on chart to enlarge SP500 Weekly Closes Up – For Sixth Week In a Row