SPX Long update
I'm still long SPX from Oct low Dow 200 MA SPX 2924. Reason for going long? Simple, you can't fight the FED. Yes there was the interest rate cut, but the real driver is FED REPO since Sept 2019 at insane record levels not seen since 2008 crisis see here: flickr.com/photos/186259512@N07/49317589508/in/dateposted-public/
So we go higher till Fed Repo stops, and their website shows ending at end of this January. Already people are calling for crash at end of this January, but will that really happen? Why would Fed stop knowing soon as they do market will crash? Dec 2019 Fed minutes stated that they are considering extending to April, well they been extending it every month since Sept 2019. This being reelection year for Trump, and you know he likes market going up, so don't see them ending it but I will be keeping an eye on it.
I'm using the SPX futures to give me better look at trend line, since it's traded 24/7 from Sunday evening to Friday afternoon USA time. My target is still Dow 30K, and that would put SPX near 3400. Will we get pull backs before then? Sure, but pullbacks have been bought. Don't Fight the FED, this FED REPO at record levels not seen before. Good luck all.
So we go higher till Fed Repo stops, and their website shows ending at end of this January. Already people are calling for crash at end of this January, but will that really happen? Why would Fed stop knowing soon as they do market will crash? Dec 2019 Fed minutes stated that they are considering extending to April, well they been extending it every month since Sept 2019. This being reelection year for Trump, and you know he likes market going up, so don't see them ending it but I will be keeping an eye on it.
I'm using the SPX futures to give me better look at trend line, since it's traded 24/7 from Sunday evening to Friday afternoon USA time. My target is still Dow 30K, and that would put SPX near 3400. Will we get pull backs before then? Sure, but pullbacks have been bought. Don't Fight the FED, this FED REPO at record levels not seen before. Good luck all.
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