S & P 500 Index (1318)

As expected, the S & P Index is now nudging up under the 1326 May/06 high resistance level. If anything, it seems a bit early in a rally I expected to extend into October.

While the intermediate term outlook remains positive, I now look for short term backing and filling below the 1326 resistance level over the short term.

During the summer months, we often experience a crescendo of bearish prognostications concerning prospects for Sept/Oct. I was definitely out of step with the street when I offered a positive outlook. Fortunately, my math models do not respond to street opinions, and as it turns out we have seen a pleasant rally into September.