$SPY TOP 20
Added 2024-12-29 19:47:09 +0000 UTCIn spite of the rollercoaster 2 weeks for the market, the charts have not changed and it makes my job very easy, as very little is needed to update and I can focus more on preparing us for 2025 and build on the Top 10 List.
The 50 Day MA was tested again on Friday and we covered this on the day but there was a positive response and the market did recover somewhat throughout the day as I suggested.
The $SPY would feel more comfortable holding in the rising wedge again, as it has for the $QQQ.
The pressure on the market now is the US 10 YEAR moving higher, there is a clear concern that inflation will rise and this was also highlighted by the Fed too....which makes it even more bizarre that the Fed would continue to Cut Rates while they acknowledge that inflation is becoming as issue.
$V is also showing us that the consumer is not holding back either and believe this will continue over the next while adding pressure on inflation.
Once the US 10 Year makes a higher high and goes above +5% then this will put enormous pressure on the market and banks (back to levels not seen since 2007 and we know what happened that following year) it is very likely that something will snap, an economy does not operate smoothly in this manner.....my personal view is that banks will be under the most pressure.
A retest of the 10 YR at its breakout level will be the best case scenario in the short term, this may allow a Melt Up scenario for the market to further play out.....if it does not, then I believe the correction will begin shortly.
