The Dow is flat today- a good sign after 400 consecutive up points last week. JP Morgan continues to work higher as well. Folks, we made it out of the trading range last Friday! So stage two confirmation is now awaiting. We are looking for a pullback to the previous breakout, or 100 day line (purple line below)- and a bounce on it- to be able to buy and place our stop-losses on. Our risk will be sufficiently defined at that point. So, this could really setup the market for a new uptrend. Things are looking bullish despite the constant negative news (usually that’s when you buy). However, it is important to note that the dollar (ticker symbol UUP) is up and had a bounce off of its 50 day today. This could have an inverse impact on the uptrend so lets wait for that pattern to pan out before we pile in. I will send out the alert when it is time. Have any questions? Post them to the site!
UPRO (S&P 500): Break above the channel to 80