01.19.2012 -- Feels so warm and bullish

Feels so bullish and warm and like we could be at new all time market highs by the end of the year doesn't it?

-------------------------

Key Levels

Upside -- 1320-1330

Downside -- 1303, 1292, 1281, 1257, 1247, 1221

very lopsided right now

-------------------------

SPX Daily (12 Month)

I've outlined here where I think we are going. Yesterday I was thinking that we might be possibly done soon and are going to pop up over 1330 and then fail and it would be all over.

Today, I'm feeling more that we are going to reverse here soon with the false break and sell off to the bottom of the triangle and then have one more surge and then the false break higher. That will drag out this process another month or 2.

It could go either way. If we reverse soon here (tommorrow or Monday), without breaking over that trendline, I believe theres another move north left. If we go ahead here and break that trendline and shoot up to 1330-1360, then this might be the final push north.

Sentiment is all set up for a big fall.. its hard right now to see what would break this market. You can't imgaine now with all the bailouts and games and interventions how they will allow this market to fall, especially in an election year. Its manipulated... it's controlled... "they" won't let it.

All thoughts that have gone through your head right? Make you doubt being short this market?

That is the psychology of a bear market. This is a bear market rally.. welcome. Burn the bears and burn the bulls.

GL

CJ