The last time SPX was in a position to make new highs, it fell 125 points instead.  If fact, it’s tested the May 2015 highs six times since then.  Any of those days, it was within a good ramp job of shooting up past 2134.  Is this one any different?

continued for members...

First, note that SPX has successfully backtested the falling yellow channel (though it probably dipped a little lower than they had planned.)  It has also broken out of the falling purple channel.  It did this once before, but Brexit knocked it back down quite a bit.  It has now completed an IH&S Pattern within the right shoulder of a much larger IH&S Pattern targeting 2422.

And, it broke out of the small, falling white channel — busting the bearish Harmonic grid that had provided a path lower.

In short, there are no chart patterns or harmonics standing in the way of new all-time highs — which is what you would expect when central bankers are gearing up for more stimulative action and when the global Stimulator in Chief (Abe) was reelected in a landslide.

About the only resistance is the actual 1.618 extension at 2138.04.  It was this Fib level that SPX came up 4 points short of on May 20, 2015.  Technically, we could call the rise back to 2138 a truncated 5th wave and get ready for a huge decline.

But, I imagine TPTB have taken this risk into account and are planning a very big push to make sure it doesn’t happen.  Seen USDJPY this morning?

GLTA.