Breakout...Almost

I post this model from time to time to argue for against the S&P bull market (mostly for the bull market since the lows in 2009). Well, in looking at the chart now, we have breakouts among the range momentum and the trned momentum but not the price action. This argues that the price action should follow suit in the coming days and finish the month strong. Should is the operative word though because the jobs report could upend this whole burst higher. Why?

Well if you look at the position of the current candle and look at the highs, they are basically sitting around the same point as the levels in the spring. A failure form this trading area will get the bears all over the screens selling futures, SPYs and anything else related to the markets as they will see a double top and a retest of the 1000 level next. I believe the jobs report will be a bit better than most believe so this should not come into play but the markets are extended and a correciton is overdue. From where is the key. I remain bullish but now concerned about the outlook for the markets with the Fed's error from yesterday. QE will be something we wished was never implemented.

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