FOR FRIDAY: (1/05) S & P close to key target zone at 2732 but will anyone be around to trade on Friday with the Bomb-Cyclone even if they trade from their homes? Natural Gas prices at record highs are not great for inflation and commodity prices have risen strongly since the US raised rates so the deflation block may finally be lifting but what happens if the economy doesn’t really pick up? Cycles highs still due into Sunday and maybe Wednesday for some of these trending markets so there’s still inflation money left.

S & P ANALYSIS FOR THURSDAY: (1/05) No rest for the bulls as 2731.50 is only 6 points away. Computer patterns could allow a pullback to 2716 and then a new high to 2749.50. There is still time for this to happen and we will not top-pick a bull. NQ has room to 6700 and DOW futures have closed over 25000 so what’s there to worry about. We could easily see profit-taking set in Friday as New Yorkers head for their bomb-shelters if they make it in. Let’s pray for no power outages as they could be life-threatening. The next pullback could be 70 points but that would look like nothing and it may happen from 2749.50.
SHORT-TERM: (1/2) Inclined to think that the trade will buy the market Jan. 2-5. It does then seem like a 3-week correction into Jan. 24-25 is likely with a recovery into Feb. 2. Now we have the Jan. 19 debt ceiling to deal with or will they kick it down the road again?
CYCLE SYNTHESIS: Higher into Jan 5 and 7; lower into Jan. 12; lower into Jan. 19.

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