Whilst the US equity market saw a second day of rather strong gains, from a purely technical perspective, it remains a mess. The monthly cycle is holding the bearish cross achieved last week, whilst the weekly cycles are now outright bullish. All the bulls need to do now is break above next resistance of sp'2064.
sp'monthly
sp'weekly7
Summary
A tiresome... and somewhat annoying day.
As for the equity cycles... monthly MACD bearish cross remains intact... which is somewhat impressive considering the move to sp'2050.
What is clear, any break above key resistance of 2064 will likely turn even the monthly cycles back to bullish.. negating all the bearish hopes in recent weeks.
The fact the weekly cycle has already turned outright bullish green should greatly concern those currently holding short.
**Bonus chart to end the day....
UK - FTSE, monthy
Just 129pts to break the historic high of Dec'1999... and hit the giant 7k threshold. As noted this past weekend, any monthly close in the 7000s will open up 9k by end year... which of course would be part of the 'hyper-bullish' outlook for the EU markets
Considering the ECB QE-pomo program hasn't even begun yet... the laggy FTSE index is on the edge of what would be an extremely bullish signal.. not just for other EU markets.. but the US.
Looking ahead
Wed' has the ADP jobs data in pre-market, PMI/ISM service sector data.
*there are two fed officials on the loose... and those maniacs have arguably been impacting market mood/prices in the last few days.
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Goodnight from London
