WHO LET THE BULLS OUT

The bears had several opportunities to take the market down and failed every time. SPY has based in the 105-106 range for almost 5 days, this is longer than the base at 101. So I'm expecting a vicious rally for the next week. One that should carry SPY all the way back to the 112.42 gap.

The uptrend line (A) has held, the downtrend line (B) has been broken and with a solid base we could rally for weeks. But for the short term, I expect a rally to ~108 today. On Thursday or Friday we may get a shakeout as they are common when there are too many bulls on the bus.