18 Sept 2013

No taper, no tantrum from the markets.  Prices managed to hit a upper resistance line that marks the tops made in May and August.  A break upwards of that upper trendline for a good few days would suggest we are off to higher highs.  Our Short-Term trend has to start turning down and needs to come out of the overbought area to relieve this impulsive move from the Aug. 28 lows.  That said, the Daily chart has put in a divergence and a sell would be initiated only when a clear move down in price have occurred or momentum have exited the overbought range.

Now that the taper has been put aside for the time being, we should hear about the Debt Ceiling and the Gov't Stoppage that could reignite volatility.  Lets see what happens...

Main-Trend: UP
Short-Term: UP