Many bearish traders can indeed justifiably feel sickened and disgusted at this latest madness. However, one hour of ramp can not dismiss the bigger cycles.
IWM
Dow
Sp
Transports
Summary
A rough day for the bears, although I think I said the same yesterday! Despite the indexes closing fractionally red, this was a really annoying day. We closed with a hanging man candle on the SP. That is bearish, but bears will need to see a new low.. <1313 either Friday or Monday to confirm it.
Dashed hopes for Friday?
The bears could REALLY do with a close tomorrow in the low 1310s..or better. My much-noted wish to see a monthly close <1305 now looks almost out of range.
However, we do have 3 pieces of econ-data tomorrow morning - including Chicago PMI, so..if the data is bad..it just might be enough to kick this market lower...
...unless Merkel cancels another press conference.
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A little more later...