Tuesday 31 January 2017

Equities cruising higher

January saw a new historic high of sp'2300, as underlying price momentum continues to lean increasingly bullish. There is simply no sign of the current wave that began in Feb'2016 ending.




sp'monthly9



Summary

January saw a third consecutive net monthly gain, as - contrary to what some wish to believe, the post election rally continues.

For now, there is zero reason to be bearish unless a monthly close under the key 10MA, which will soon be in the 2200s.

It is entirely possible - if not probable, that we'll see the 2400s by May/June.
--

sp'monthly7 - ichimoku


Its interesting to note that by year end, the top of the cloud will be around sp'1950. Those calling for deflationary collapse really have no justification until a break inside the cloud.