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Thursday night's make or break situation in the market rocketed to the upside at the open Friday. All four items I discussed Thursday night successfully resolved to the upside Friday:
- In the upper chart cluster, row 1, the S&P did the price retest up from the upper blue channel line.
- In the lower chart cluster, row 1 chart 1, the red 5 MA line turned up quickly from brushing against the 10 MA line instead of piercing down thru it.
- In chart 3 row 1, the S&P successfully retested the gray 150 and black 200 MA lines.
- In chart 4 row 1, we successfully retested and bounced up from the lower brown line of the mother channel.
The only item that might give one pause is row 2 chart 3, showing the 30min bars of the S&P and how with Friday's blast upward was stopped at exactly the lower red line of the steep bull channel from early summer. This is also what stopped us back on the Sept.20th & 21st. Once the S&P is back in the red line channel, the bulls will have good control of the market but the bears will be looking at the lower line of the that red channel as a place where they will take their last stand to stop this rally.
In row 3 chart 3, the adv/dec is extremely overbought Friday afternoon and needs at least some sort of a pullback on Monday before it can go higher.