After bleeding out the week before last (and the week before that), we finally got a nice move up last week.
Most of the bullish indices moves came on the back of Kudlow saying Trump was open to a deal with China. That and Federal Reserve Chairman Williams putting out a fairly ‘dovish’ stance on interest rate hikes and the state of the economy.
What we have seen is a big correction that is in the shape of reversing. Here’s a daily chart of the $SPY ($SPX / $ES_F / $SPX500 / S&P 500).
If you know of my “first candle indicator”, you’ll see that we are still in a bullish major trend. If you don’t know of it, I’d recommend you give it a read. It’s in two parts, but I’d read part two first here.