Big Picture for the USD:

Daily RSI fell back into the channel recently broken out of, and is backtesting the white midline in the midst of a fairly steep decline — seen better in the closeup below.  All this, while DX has been rising.

RSI and price are finally on the same path — a moderate correction before taking a shot at the midline of the big white channel at the intersection of the purple 1.272 and the white .786 at 85.4-85.7.

This all fits well with our equity forecast.  continued for members…SPX shot up through the top of the little white channel and is taking aim at the yellow long-term trend line once again.

I’ll have some channels to redraw, but my expectation is still that SPX is building a case for 1576 due to the:

• Crab Pattern (light blue) completion at the 1.618 of 1576.46
• Crab Pattern (purple) completion at the 1.618 of 1579.1
• previous high of 1576.09
• the red IH&S Pattern targeting 1583
• a variety of channel lines intersecting there as early as 12:00 PM today.

UPDATE:  2:40 PM

This morning’s race to the top has turned into a long, slow grind.  I’ve charted a tentative channel which, if it were to hold, gets to 1576 as early as tomorrow morning.

I hate to say it, but the .886 (1562.78) of this potential Crab Pattern (red) intersects in the next hour before the close with the long-term Trend Line (yellow.)

I’ve drawn tentative channels so many times, now, and we’ve come so close to that TL (even closing above it yesterday) that I’m starting to really dislike it.

SPX has crossed or tagged it 18 times since Mar 14!

UPDATE:  3:35 PM

Finally pushed through the Trend Line!  Now, if it can just hold…

60-min RSI showing resistance here, so it might not push ahead without another pullback first.

Daily RSI also showing potential resistance, but it’s hard to imagine coming all this way without bagging the prize.  Previous high close = 1561.15 (Oct 9, 2007) and previous intra-day high = 1576.09 (Oct 10, 2007.)

More later…