Today’s rise continues our successful run — now up 18.5% in the 5-6 weeks since the new pebblewriter.com came online (knocking on wood…)  As expected, we got a sizable reversal off the Crab, Butterfly and H&S patterns.

As discussed in today’s earlier post, the 60-min channel is again being tested – – to the upside, now.  A study of the RSI picture indicates that SPX will likely continue its upward climb and hit our 1370 target as discussed earlier.  Note TL #5, tested twice before broken on May 9.  It is very likely going to provide a back test.  The pink circle might be good timing — still working on that.

Previous climbs from the lower bound to the upper bound of the RSI channel have provided 70 points or so, meaning the initial 1370 target is looking good, with the analog’s 1472 target the longer-term goal.

UPDATE:  1:55 AM

Continuing the earlier post…

Those two earlier trips across the channel took 13 and 17 days and covered 75 and 58 points.  Splitting the difference from a time perspective gives us 15 days to achieve the back test of 1370 — making it around June 5.  Although eyeballing it, the pink oval looks more like June 15.  I’ll work on the timing issue more tomorrow.

The rise up through RSI TL # 7 was powerful.  We’re currently lodged against TL #6, meaning a back test of 7 is a distinct possibility.   If it takes 15+ days to climb 55 points, be prepared for plenty of chop.