(this is the fifth in a series of five posts concerning the markets)
Lastly, a couple of charts showing the S&P500...
First, one that shows the S&P500 on a weekly basis, LOG scale, since 2007. I continue to find this chart interesting for a variety of reasons. It shows that resistance has become support, as seen in the blue trendline. As well, it shows the retracement levels near the middle of the chart, in gray. Of note, the April high of 1220 is very near the 61.8% retracement:
(click on chart image to enlarge)(charts courtesy of StockCharts.com)
This 1220 level on the S&P potentially has other significance as well. This next chart shows what may be a large C&H (Cup & Handle) chart pattern, denoted by the bright green line. While the price action may not exactly satisfy the requirements for a classic C&H pattern, the behavior seems to. As such, I view it as an important consideration, one that would seem to support further strong price appreciation, at least in the short-term:
A Special Note concerning our economic situation is found here
SPX at 1184.00 as this post is written