One way of looking at markets is as a succession of inflection points or probability forks, at which there are generally a higher and lower probability option which, once taken, take the markets to the next in that series, either eliminating or significantly changing the paths not taken at that inflection point.
We’ve been looking for one of those inflection points to happen at about this time, and in about this area, and that is likely to be resolved over the coming week, so in this Memorial Day post I’ll be looking at that and what the shorter and longer term implications of the direction taken from that on SPX.
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