10 FAST Facts About the Current Stock Market $SPY

This is a bull market, while so many are concerned about the huge move off the March 2009 low they need to also consider the market went no where from 2000-2012 and this could be just the beginning of a new secular bull market. There are no facts that can begin to ‘predict’ a huge correction. Anything can happen but I am trading what is happening now.
It is possible to have a bull market that is not a bubble. Bull markets can go on longer than most imagine.
Momentum tends to produce more momentum in the same direction until acted upon by a new catalyst.
There have been no long term shorting opportunities all year only short side scalps available but they had to be opened into strength and profits taken into weakness.
The RSI has flat lined under the 70 ceiling this could lead to a slow grind up and if the 70 is closed above it could signal a parabolic move up started by forcing a lot of short covering.
Many times a market can drift upwards simply because of a lack of sellers, currently no one is willing to part with their $SPY holdings under the 5 day ema for the past six trading days.
The concern for the bulls is that there is so much profit taking as the $SPY tries to trend up. The market needs a catalyst for another leg up and it is healthy to form a nice price base here to burn off some of the overbought conditions after moving so far so fast.
For 35 trading days the 20 day has held as support so bulls should have no concern for what the bears say about a correction until that line is broken and closed beneath at least.
Buy the dip is still a very good strategy here given the opportunity at the 10 day or 20 day.
If you look closely the last seven trading days have made higher highs than the previous day and the past six days have made higher lows, that is the definition of an uptrend.

It is possible to have a bull market that is not a bubble. Bull markets can go on longer than most imagine.

Momentum tends to produce more momentum in the same direction until acted upon by a new catalyst.

There have been no long term shorting opportunities all year only short side scalps available but they had to be opened into strength and profits taken into weakness.

The RSI has flat lined under the 70 ceiling this could lead to a slow grind up and if the 70 is closed above it could signal a parabolic move up started by forcing a lot of short covering.

Many times a market can drift upwards simply because of a lack of sellers, currently no one is willing to part with their $SPY holdings under the 5 day ema for the past six trading days.

The concern for the bulls is that there is so much profit taking as the $SPY tries to trend up. The market needs a catalyst for another leg up and it is healthy to form a nice price base here to burn off some of the overbought conditions after moving so far so fast.

For 35 trading days the 20 day has held as support so bulls should have no concern for what the bears say about a correction until that line is broken and closed beneath at least.

Buy the dip is still a very good strategy here given the opportunity at the 10 day or 20 day.

If you look closely the last seven trading days have made higher highs than the previous day and the past six days have made higher lows, that is the definition of an uptrend.

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