The week that was:
Wow, how much longer can this go on grind and pop, grind and pop. News has been good. The growing news story are the burgeoning currency wars, and Japan's belief that we can depreciate our currencies to prosperity. In an effort to spur inflation they mandated their refineries reduce gas production 20%, which may be one of the reasons beyond the seasonal dynamics why we've seen such a jump in gasoline prices. If you hadn't notice export of refined products is why our trade numbers were so good last month. Now we know where they're going. Yeah, depreciate, jack up the price of gasoline taking more money out of the consumer's pocket. Sounds prosperous to me.
Notice on the last graph for the week how the Yearly R1 (YR1) has been support in SPY:
The week that is:
I guess look for more of the same until the price action tells us otherwise. Pay attention to what longer term levels (beyond the weekly) are showing relevance, and then what weeklies are lining up with or near them. Peace & Quiet