Together with Jim I'm in the inflation camp now and believe that March 2009 - April 2010 rise was the W1 of the new multiyear bull market. The question is: can it move up from here with no looking back or it needs to "refuel" before commencing W3 up in earnest?
From what I see on various blogs and sites there are still many W3 down callers despite yesterday's taking out of August top by SPX. The chances are high that many others will join them soon if the market starts to fall impulsively from here in the following scenario:




At the end of such bullish ABCD the market should be ready for a major move up. Especially that those W3 down callers would be allowed to hang on for many more months to come if the most probable scenario developes:




Could you imagine the amount of fuel they could provide in such scenario?

Bigger ABCD, right back to the same line, and it reacts, again. Is the point of my last post clear?

High tick again. This time, I suspect, it bursts up and runs until after cash close. Just as I say this, though, I see it is reacting sharply there. But, I think it will run...

Right back to the line. Totally not able to handle that area. Very surprising.