The present upwave (SPX) now amounts to 7.52% and 18 days. Party getting old. Any minute they will turn out the lights and take back some of the profits. If we were trading this we would be watching extremely short term data — maybe hourly or half hourly bars, where the profit taking and short selling will show up first.
Most of our readers will yawn and ignore it. And with good reason. Prices have boomed to a new high — not just a new high but topping 1500. And the Basing Point is still 9/26/12, making the stop where it has been since then, as illustrated, (bottom horizontal line) 1344.69.
That might seem like a lot of space, but it was tested on the last downwave. And there are glittering forecasts on the upside: (Remember not to take this seriously):
The PnF wizard has a target of 1710. A letter or so ago we computed a likely immediate target of 1525, which is quite near. 1710? Who knows? As we have said we can’t foretell the future but the chart tells us to be long and fully committed right now.
Just imagine all the uncertain investors and funds who are eating their hearts out right now because they are not long this market– as we have been since March 09. Just imagine.