Dancing With the Bulls

The S&P 500 had its first all-time high in over two years. [Jeff Clark's Market Minute]( Dancing With the Bulls By Jeff Clark, editor, Market Minute The bulls are celebrating a new all-time high (ATH). The S&P 500 rallied above 4,818 on Friday – giving the index its first ATH in over two years. And there’s enough momentum to help push the S&P even higher over the next few days. So, the bulls are justified in dancing a bit right here. But traders should be careful chasing this move because the music could stop anytime. Take a look at this chart of the S&P 500… [(Click here to expand image)]( The index had been chopping around between 4,700 and 4,780 for most of the past six weeks. This action formed an ascending triangle pattern on the chart. The S&P broke out to the upside of that pattern last Thursday. And, since the height of the triangle is about 90 points, the upside target for this breakout move is about 4,880. No wonder the bulls are dancing. Recommended Link [When the Countdown Hits ZERO… You Can Capture 10x, 50x, 100x Returns?]( [image]( The crypto legend who helped turn 3 regular people into crypto millionaires says: [“Get Ready for: April 16th, 2024.”]( Because a rare crypto event will trigger on that date… Causing a seismic shift in the market, sending hundreds of tiny crypto coins soaring 10x, 50x, even 100x higher. One of the last times this crypto event happened… Once the countdown hit ZERO… Bitcoin exploded for an 8,400% return. In UNDER one year. [And smaller coins exploded 2,686%... 14,690%... and more.]( Now, the next crypto event will trigger on: April 16th. [Click Here to Get the Details.]( [PS – To help you get ready Teeka Tiwari is giving you his #1 Crypto Pick – 100% FREE.]( -- But There’s a Caution Sign… There are some problems, though. Look at the momentum indicators at the bottom of the chart. While the S&P has rallied to a higher high, all of the momentum indicators are making lower highs. This sort of “negative divergence” is a caution sign. It suggests the momentum behind the current rally is weak, and we may soon see a reversal to the downside. We also have an intermediate-term sell signal from the Nasdaq and NYSE Summation Indexes. Here are those charts… [(Click here to expand image)]( [(Click here to expand image)]( Two weeks ago, both indicators turned lower from overbought conditions. They dropped below their 9-day exponential moving averages, generating intermediate-term sell signals. The red arrows point to all the previous sell signals over the past 14 months. Here’s how the S&P 500 behaved following those signals… [(Click here to expand image)]( The summation index sell signals don’t often coincide with an immediate decline in the stock market. In fact, the S&P 500 often rallies a bit right after most signals. The Bears Will Get Their Chance to Dance But, in three of the previous four cases, the market was sharply lower within a few weeks of the sell signals. For example, following the previous sell signal in August, the S&P 500 lost about 9% in nine weeks. Free Trading Resources Have you checked out Jeff's free trading resources on his website? It contains a selection of special reports, training videos, and a full trading glossary to help kickstart your trading career – at zero cost to you. Just [click here]( to check it out. So yes… the market posted a new all-time high, and there’s probably a bit more upside to go. The bulls are entitled to take over the dance floor. But the summation index sell signals, and the negative divergence on the daily chart of the S&P 500 suggest the bears will get their chance to dance over the next few weeks. Best regards and good trading, [Signature] Jeff Clark Editor, Market Minute IN CASE YOU MISSED IT… [FIRST LOOK: Google’s New AI Project]( After retiring three years ago, Google’s billionaire founders Larry Page and Sergey Brin are back. They’ve returned to launch Google’s new AI project. And tech expert Colin Tedards recently filmed a demo of it in action. [Click here to watch.]( [image]( [Jeff Clark's Market Minute]( Jeff Clark Trader 55 NE 5th Avenue, Delray Beach, FL 33483 [www.jeffclarktrader.com]( To ensure our emails continue reaching your inbox, please [add our email address]( to your address book. This editorial email containing advertisements was sent to {EMAIL} because you subscribed to this service. To stop receiving these emails, click [here](. Jeff Clark Trader welcomes your feedback and questions. But please note: The law prohibits us from giving personalized advice. To contact Customer Service, call toll free Domestic/International: 1-800-752-0820, Mon–Fri, 9am–7pm ET, or email us [here](mailto:contactus@jeffclarktrader.com). © 2024 Omnia Research, LLC. All rights reserved. Any reproduction, copying, or redistribution of our content, in whole or in part, is prohibited without written permission from Omnia Research, LLC. [Privacy Policy]( | [Terms of Use](