The “market” makers are doing an excellent job of propping this puppy up today. SPX just tagged two .886 Fib levels, and has barely reversed at all. Perhaps after the 12:00 print is in. Or, it could be because the IH&S target of SPX 1893 is still out there. In either case, it continues to be all about the yen carry trade.
Be careful about chasing any push past the former highs, as these have frequently occurred simply to stop out those paying attention to the technicals. The key is to pay attention to the USDJPY and NKD. When they’re rising, so are stocks. When they’re falling, stocks are following along if they feel like it (except in the after-hours, when declines are only allowed when SPX breaks out and closes at the high for the day.)
Watching Yellen today, I have started thinking of the “market” as a building that she and Bernanke built that rises to the sky. It features elevators, of course, but they only go up. If you want to go down, you must take the stairs. But, there’s a team of snipers on every landing with orders to shoot to kill.
At this rate, I suspect TPTB have decided we’re going to tag SPX 1900 come hell or high water (or lousy macro data/earnings/war/pestilence/locusts/asteroids…okay, maybe an asteroid striking the Eccles Building would do it.) It will break all kinds of technical and chart pattern rules to get there. And, it’ll probably happen in the after hours or over the weekend — so good luck catching it.
From Zerohedge — because no other news organization would dare touch it…