FOR TUESDAY: (1/16) Our cycle and pattern work shows major completions on Monday but without a key trigger and reversal, we can’t fight these trending situations that funds are eating up. It’s easy just to throw money at them and make money. Long weekends can reverse situations. Stocks should stall at 2800 and get jitters before the budget ceiling. Starting to run out of time for the exuberance cycles but S & P projecting 2980 on the SP, and we originally thought that might take until June but easily will come in sooner.
MARCH E-MINI S & P 500
TRADING RECOMMENDATION: Wait for morning comments.
S & P ANALYSIS FOR TUESDAY: (1/16) The S & P is closer to 2800 but the parabolic rise of the market continues to be astounding and latest projection of 2983 originally might have come in toward June but seems like it could happen well before then. If we get a 70-point pullback, and some cycles would allow it, it may not mean much and bears should stop trying to top pick because bull markets make fools out of top-pickers. There’s a five-count complete from the Chinese rumor fall but not sure we can count on a 70-point pullback. Much above 2800 and the market is projecting 2989 on the daily chart. Greed has not restraints. No point in top-picking.
CYCLE SYNTHESIS: Retracing into Jan. 19.
