The market has given the bullish continuation signal by taking out the Weekly High right on last Monday. After three more days of sideways and a false thrust down on last Wednesday, there came the real break up last Thursday.
The next targets are at the 2325-2330 area, where the passing week’s Weekly bullish pinbar and the Weekly Spring made by the elections are pointing at, as well as the 2016 1st Quarter bullish pinbar. Slightly above, there is the 161.8% extension of the correction that took place for the last two years, at 2339.2350 is the target for the Monthly bullish pinbar on sloping 8 EMA of last November (the US elections).
All these targets mean that we might see a massive Long covering on these levels.
Any retracement on the Daily and a new bullish signal as took place last Tuesday (with the thrust up the next day) – is a good bullish signal to join the move to the next targets mentioned above.
S&P Futures, Daily, Weekly and Monthly charts (at the courtesy of prorealtime.com)
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