The Nasdaq Composite is a mere 28pts (0.75%) from hitting the giant psy' level of 4000. However, there is still a considerable way to go to hit the bubble peak of 5132 - from March 2000. That is around 30% higher...and will likely take until 2015 to be achieved.
Nasdaq,daily
Nasdaq, monthly'2 - 20yr
Summary
Seen on the huge twenty year chart, it should still be a major embarrassment to the equity bull maniacs that their much beloved tech sector is massively below the peak from over a decade ago.
Indeed, the Nasdaq chart is a great example of a blow-off top, something that I will be looking for in the entire US/World equity markets in the latter part of 2015/early 2016.
The 4000 level will surely be hit in the next few days, and no doubt, clown finance TV will probably attribute it to the 'policy success' of incoming US Federal Reserve chair(woman) ..the Yellen monster.
--
Looking ahead
The week concludes with a little array of econ-data. We have empire state manu' survey, import/export prices, indust' production, and wholesale trade. So..Mr Market will have plenty of excuse to find a direction by late morning.
It is opex tomorrow, so...trading volume should be somewhat higher, and price action should be a little more volatile/choppy.
*next sig' QE-pomo is not until next Monday.
--
Hyper-bullish chart on track
The weekly'8 count which I have been touting for some months, continues to look good, and Indeed, I've even been using it for my hourly count in recent days.
sp'weekly'8
Generally speaking, we should see some kind of 'minor' wave lower..to the 10MA, which will be around 1750/60 by end Nov/early Dec. I simply can't see any further moves <1760 for the remainder of this year.
If the count is correct, then there should be a larger pull back in Jan/Feb ...before one final high in the March/May time zone. With the debt ceiling issue to appear again early next year...this would indeed make sense.
Permabears...hanging in there.
I realise for many out there, these remain VERY difficult times. Most of you are indeed of the 'permabearish persuasion', and I do sympathise with those still launching index-shorts or even meddling in volatility.
After all, index puts are cheaper than ever..not least with the low VIX. Yet...it would seem we will broadly climb into late spring 2014. I just hope YOU will still be around when the current multi-month wave (from Oct'2011) concludes.
*As you may have noticed, I have a Twitter account now. I'm not sure if I'll regularly use it, but it is another way to keep in touch, so I'll probably keep it active. Follow me..if you like :)
Goodnight from London
