S&P Megatrend Formation Keeps Bulls in Strong Profits
The S&P is making continuation move as the price is in Megatrend formation. Megatrend formation signifies strong long lasting trend without deep pullbacks.
As the JPY is weakening we have extremely strong bullish S&P market. When Equities are bullish Japanese investors pump their money overseas, which means they sell Yen and buy foreign currency. We see strong rejections in the for of ABCDEF with a supporting trend line. We could expect a further move up and a rejection from the POC. 4450 is the price to watch for. If the bounce happens to be bullish again, which is expected look for M H3 H4 and H5 targets. 4560, 4730 and 4720 are targets. The uptrend is strong and if there is fundamental driver for bullish equities like tapering we will see new record highs.