This is the update of my last two posts here, q.v.  It is now clear that the S&P 500 index has broken out above the critical resistance level I had identified.  This chart here is the update to the one in my last post.  Even if price retraces below the resistance curve, I’ll still consider this a valid breakout as long as price remains above the closest-in support curve, the green one shown here.

This means the U. S. equities market has now broken the pattern of the 1930s.  In my opinion, this means that the coming several years may be less severe for the economy and the market than the 1930s were.  How much less, I simply don’t know, but at least we’re moving in the right direction now.

The purple TopFinder curve is saying that, on this timeframe chart, the uptrend that started in early March ‘09 is about 60% done (in terms of cumulative volume), which says that, barring unforeseen events,  this has a lot more to go on the upside.

In my next post, I’ll update the monthly bars chart, my November 12th post, to show what the next upside target for the market is based on that timeframe.

As always, my disclaimer/disclosure applies to this post.

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