The headline may have you thinking that the stock market can levitate forever. The reality is, we’ve been here many times, and that sentiment has existed before, but has NEVER held true. Ultimately the market will fall, and from a technical perspective the higher it goes right now, the harder it’s going to drop.
Today we had a bounce back from yesterday’s low volume decline. Most of the day the market was relatively flat, but by the end of the session, the program trading took over and send the S&P 500 right back from where it was yesterday, almost.
In tonight’s video, I briefly discuss all the markets I normally cover even though not much changed today.
There is one new development. The gold mining stocks (GDX) may be setting up on the charts for a similar move to gold (GLD). If that continues, there could be great upside potential this year in GDX. I discuss this in the video below and intend to do extra work to try and pinpoint a good entry price and possible target for the gold miners.
Enjoy the video