12pm update - daily cycles..first target sp'1340

Market looks fine still. A little chop, probably sucking in a few reckless bears re-shorting (done that myself at times), and its only day'2 of this cycle. We could go up for some weeks. As I noted over the weekend, it is entirely viable -despite the negative news, that those proclaiming new index highs in June will be proved right.

If we close this week above sp'1352, then my sp weekly wave'5 chart will be the one to focus on. How we close this week will be vital to offering a clue as to if new highs are viable. If we only close the week in the 1330s, I think new highs can be ruled out.


Sp' daily - bearish outlook

Sp' weekly - count'1

Summary

The key resistance levels are clear...1340, 1370/80, 1395, 1422.

Considering the depth we are on the MACD cycle, I'm inclined to believe we will hit at least sp'1370 early next week. The important issue then will be what happens..do we level out..flat top...and start to collapse away in a giant wave'3 to sp'1100s....or...do we just keep trending up to the mid sp'1400s?

Time for lunch !