As I watch weekly SPX creek jump the top of the reverse symmetrical triangle (as noted in NFTRH, SPX and other indexes have been in and broken out of daily chart bullish ascending triangles)…
…I can’t get the commonly heard phrase “the everything bubble” and our own in-house phrase “global macro inflation/reflation trade” out of my head.
This foments a question that is bubbling up (pun not intended, but there it is anyway) within me. The question is… “is this how the final act of the bull market plays out?” with respect to all those inflated chickens first hatched by Ben Bernanke finally coming home to roost. Look, if it’s a bubble as instigated 24/7 by global central banks, could it not shake off the global deflationary grip that has held the macro since 2012 and see many other areas participate in the blow off?
The answer that comes to me is… yes, it could. Or today is an epic bull trap. Many bears are praying so. As we noted in NFTRH 575, it’s price and trend (bullish) vs. market sentiment (way over-bullish and thereby contrary bearish). In 1999 it was way over-bullish too.
Subscribe to NFTRH Premium (monthly at USD $35.00 or a discounted yearly at USD $365.00) for an in-depth weekly market report, interim market updates and NFTRH+ chart and trade setup ideas. You can also keep up to date with actionable public content at NFTRH.com by using the email form on the right sidebar and get even more by joining our free eLetter. Follow via Twitter @NFTRHgt or StockTwits.