Comments and outlook 08-24-2011

Who would have expected the market to "pop" like this?  Well, besides me.  Hehehehe.  I told you that pressure was building under the market and to expect a "pop" and it would possibly be today.

I know, I know - what am I going to do for you now.  Well every day can't be like today.  Some of the upside pressure got relieved today, so I would not expect tomorrow to repeat.  Still the bias should be to the upside.  The short 2.8TD cycle will be down tomorrow.  The 5.6TD cycle should top. The 34TD, 22TD and 11/2TD cycles are up.  By Monday the 34TD cycle should top.  So over the next 3 days we should get some upside (target 1208?) before the trend starts to wane.

Here is the SPX:

Gl traders.  The bear is lurking and the longer cycles are getting less favorable every day but we continue to focus on shorter swing trade cycles.