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?

I don't believe they won't even make it to the green line...

Anyone recall that day aftermarket when I was screaming and pounding the table on AMZN at 100? Go back and find the posts, and how I mentioned this before the fact. I asked if anyone saw the setup and if anyone was buying. AMZN is over 160 today. With AAPL, it is in what looks like a manic blowoff phase. Maybe not. Here's a note on AAPL. Look at your own AMZN chart.

http://www.zerohedge.com/article/visual-case-study-hft-accumulation-perfection

Originally posted by jarek

I don't believe they won't even make it to the green line...

Click image for original size

I'm shocked it has dropped this much...

This is really interesting. I'll post this in the economic section, too. It doesn't matter now, or tomorrow, or maybe this year, but some day it will matter.

http://www.zerohedge.com/article/are-stocks-overvalued-4-trillion-quantifying-feds-impact-stock-market

OMG!!! It's down 3 full points off the HOD! OMG!!!!!!!!!!!!!!!!!

I hope everyone bought that 3 point dip like crazy

It did essentially make it to the green line, right where it hit my upsloping line. I know a bargain when I see one.

Now, keep an eye on this high, which just got hit to the tick. You know what that might mean.

And here's how they do it:

http://www.zerohedge.com/article/pomo-impact-pictures

Interesting roll off that equal tick at the HOD, huh? Will it respond to the ABCD here? Or is this a real roll? A roll over on a Friday after a huge ramp. Hah, yeah, that will happen...

Okay, time to be short???

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