Overall markets did make a little gain on Friday, but with no volume. There were no economic data out Friday and thats why the markets could easy grind higher on POMO action. But the thing is that we are still in a huge bearish rising wedge as you can see and the Russels is in a broadening top formation. You see the SPX went higher than the Russels cause RUT is already up at the trendline. So for me looks like we will begin the major sell off already Tuesday next week and we should break down below all of these supports.
US have until 4th March with the debt ceiling and I think this could come in the news this week and into 4th Marh. Overall the short term trend is still up and until trend changes we will keep moving higher. Thats why - wait for confirmation to downside and when we get confirmation - get aggressive buying shorts. But until then better play a long or stand in cash. The numbers to watch for SPX on Tuesday is 1330-1333 , IF we break down from this area , thats when the short term trend will change and to get heavy short.
Personally I thought the sell off would start sometimes this week- but we option expiration and holidays and no big economic data we got sideways//higher. Next week should be a fun week for the bears imo - but wait cofirmations.
I have added a few counts on where I think the markets is going - as you can see looks like we are near a big top and a move down in all counts should come. (From EWT Tech)
Have a nice day
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