There are a confluence of trends meeting in the current S&P range that I’ve been following for some time. To keep them straight, I’ve color coded them: Green for the trend originating March 2009, yellow for the less pronounced uptrend in place for the last two years, and blue for the emerging downtrend originating May 2015.
Any of these three could still be in effect, but its hard to say which just from the charts alone. I favor either the yellow or blue case as my operative bull and bear cases for the S&P 500 for the foreseeable future. The burden of proof is on the market, and the only answers will come in the fullness of time. For the time being, this is what I call a “Rorschach” market. What you see in the charts may say a lot about your general inclinations, but the potential is there to see both a bull and a bear market here.
In the near term, we see to be headed higher, though, if the 30 minute chart is any indication.
The market is still in a fragile condition, and care is as always warranted. Good luck out there this week!