Back to outright bullish

We're barely half way into February, and already holding powerful net monthly gains of 93pts (4.7%) @ sp'2088. The monthly MACD cycle has negated the bearish cross of late January, and has now turned positive cycle.

sp'monthly

Summary

What can be said? Market appears back in 100% 'everything is fine' mood, and we now have bullish engulfing candles on most of the indexes.

Without question.. if we close the month >sp'2088, it'll bode for continued upside across the spring.. if not the year.

For the equity bears... it would seem that the late January weakness was just another cruel tease.

Downside momentum building

A new month has begun with further dynamic swings in the US equity indexes. With January closing with a bearish MACD cross... February is seeing underlying price momentum increasingly swinging in favour of the equity bears.

sp'monthly'9

Summary

Little to add.

What is important... unlike October.. the bears finally managed a bearish monthly close for January.

If Feb' can close at least a little lower, it'd make for the third consecutive monthly decline... and would be highly suggestive of a much bigger move to the low sp'1700s.

First things first though... lets see if the bears can hit 1920/00 within the next 9 trading days. It won't be easy, but then... when the 200dma was lost in early October... things unravelled rather fast.