Boundless Breakouts

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For the one or two bears left out there, man, what a disappointment we’ve had over the past couple of weeks. Right at the moment it seemed things were breaking down, whoosh, everything reverses course. This honestly feels like an environment in which you can drop a hammer, and the hammer will simply float in mid-air. Nothing is natural anymore. Breakdowns don’t break down. They are simply defied.


More broadly than the Dow Industrials, you can see the Dow Composite as a whole has broken above its wedge.

slopechart COMP

At least the NASDAQ still has a fighting chance of weakening.

slopechart COMPQ

You can see that not just in the NASDAQ Composite, above, but also the NASDAQ 100, below.

slopechart NDX

The S&P 500 hit a new lifetime high on Thursday and score a new closing higher as well. In short, seven trading days in a row were seized by the bulls.

slopechart SPX

Just about the only sector left that I think has genuine potential to fall in the near-term is oil and gas.

slopechart XOI

Here is the same chart, this time with Bollinger Bands.

slopechart XOI

And, finally, with the Williams %R.

slopechart XOI

In a market like this, the bearish set just doesn’t have a prayer. Even the smallest sign of market weakness or increasing volatility gets smothered in its crib. This has gone way beyond ridiculous. It has been literally twelve solid years of nonstop intervention, and the results speak for themselves.

slopechart VIX