Even sp'1400 is no good

It would seem likely we are going to see the indexes decline for some days, but the bulls remain firmly in control. Even a move to sp'1400 by the end of next week would not break the strong up trend since the June low.


sp'weekly, 2yr

Summary

The targets are clear...

Bears need to see a September close <1425, preferably 1400. Frankly, even that seems difficult to achieve, considering the 1.0trn (annual) QE that the Bernanke has now initiated.

Most important of all, only with a break under sp'1350, could the bears genuinely get excited that the giant wedge/wave'5/E theory (or whatever you want to call it) has panned out.

Until then, it really is a case of don't fight the trend...or the Bernanke.

Goodnight from London