Lets look at the master index...
NYSE Composite, monthly, rainbow
Summary
If we can take out last weeks high of 8160, then the next target will be the March high of 8327. Frankly, if that is surpassed, a major challenge to the May 2011 peak of 8718 would be almost a given. That would likely take some weeks to attain though, and would be suggestive of a slow motion algo-bot meltup all the way into the Christmas period.
So, in the next few days, we should be mindful of both the 8160 and 8327 thresholds.
What is clear, the current trend on the rainbow chart for the master index is indeed still up Baring an 'event' spooking the market, higher prices seem very likely.
*I will note, the transports - the 'old leader', is sporting a red rainbow candle for September, so the bigger bearish outlook is teasingly within the realm of possibilities.
Goodnight from London