So much for the short term sell signal on the SPY. The Intel earnings are likely to blast the market higher tomorrow.
It will be interesting to see if they are able to close the market at a new high or if the rally gets sold off by end of day for a price bar reversal close. Perhaps we need to wait until end of week to get a better idea.
I mentioned before last weeks extremely bullish weekly close on the SP500 that was only 2 pennies shy of the weekly high. It was the most bullish weekly price close that I have been able to identify since the entire rally from the March lows. So perhaps that was a clue as to all the bullish earnings news this week, although the week is not over yet.
Weekly MACD still has not reached any kind of turning point downwards. A flat weekly close this week would start to slow it down, but another mega rally into end of this week is going to keep it over extended.
There is still this important cycle date (October 18) this weekend that could serve as a turning point for the market. But looks like the bulls want to run the market the rest of this week again.
Weekly RSI may form a double top of sorts if the market can move up the rest of this week.
But for now my topping picking goes into hiding again for a bit, at least until the beginning of next week. This market is still owned by the bulls… at least that’s how things look after the Intel earnings, but lets see how they close the week.