There appears no reason to believe that, anything other than a topping process presently is unfolding. Likewise, there is no reason why this could not continue for a few weeks more.
In every panel above there's something reading, "Going, going," logically leading to the "gone" I have drawn. Being the entirety of the stock market's counter-trend rally off March '09 bottom has been like a ride on the Energizer Bunny, a couple weeks more "going," really, would be only fitting (much as has been this week's entirely suspect reversal). As long as technical conditions continue remaining supportive of a near-term negative outlook, like now, then I will continue looking out below, because a 20-30% haircut in a heartbeat is not out of the question.
It is, indeed, almost shocking how this week's pop finds no technical ground on which one might suspect top is not yet in. So, right now, my view remains that, as long as September 23rd intra-day highs remain intact, then selling should soon accelerate.
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