S&P 500 as of yesterday, formed a very nicely constructed and perfectly parallel price channel with the slightest of declines.
In light of this new development on SPX, it is no wonder that the market is bouncing hard today.
With that said, it is a safe bet, that this market has about another 13 points of upside before it really starts to hit some major resistance again and possibly moves lower yet again (around the 2064-67).
To say that the market has had some trouble with any downward thrusts in price action is probably the understatement of the new millennium, as time and time again, the bears have had the opportunity in the palm of the hands to really push the market lower, and about 90% of the time has failed to do so.
So here we are again with another miserable and failed performance by the bears and renewed buying, that considering the price range we are in the middle of (2040-2138) will likely see its own tragic death too at some point.
But pay attention to this channel, and let it be your navigational beacon in the days ahead.
