Sunday, April 12, 2015

MTU Weekend Ed - Overhead Resistance (4/10/15 close)

So far, stocks have tracked the typically bullish month of April within the Decennial Cycle (Chart 1) and the Presidential Cycle (Chart 2).  The historical tendency according to these two cycles remains bullish for the rest of the month.

However, SP500 is also running into potential overhead resistance based on a potential rounding top (Chart 3) and/or one tracking count (Chart 4, gray line). Furthermore, Q2 or Q3 is also a potential time window of a top (Chart 5, completion of blue [3] or initiation of wave E of the blue [4]).

 A new high is required for a better hint of a continuation of the advance from the April 1st low.