The video in this report is only accessible to members
The video in this report is only accessible to members

$SPX managed to extend gains sharply following FOMC’s 75bp hike Wednesday, though there seems to be confusion everywhere as to whether the hike was dovish or hawkish.  Technically speaking, this kind of uncertainty is precisely what can lead Equities higher at a time when most market participants remain on the sidelines.  Near-term, this won’t be a straight line to 4200, but I do suspect that technical resistance might resurface as August gets underway next Monday at 4080-4125 which might cause a slowdown/minor reversal to this bounce.  Defensive outperformance has been prevalent this entire week.  Overall, $SPX gains should not exceed 50% retracement area at 4138 before pulling back to near 3800-50 into mid-August.  However, there doesn’t need to be a move down to test lows right away and trends remain bullish overall for gains into September, regardless of if the first couple weeks of August are rocky.  For those with a four-to-six week timeframe or longer, being long and buying dips looks correct.

The video in this report is only accessible to members

Technically speaking, the following seem important reasons as to “why” Equity indices might stall as we close out July and head into early August:

-SPX is nearing Ichimoku resist...

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