The French vote brought out buyers all around the world. Breadth was +68%. New highs expanded to 245. That is the highest since 3/1. The volume was strong. SPX did not make much upside progress after the open. With the high volume that means there were quite a few people selling into the strength.
The futures peaked out before the open. Notice they slightly crossed the red resistance line. The sellers kept the futures below that line all day during market hours. Apparently we still have resistance there. The question is how stiff is it.
The green count shot up today and is just slightly below overbought levels.
SPX is once again into the 3/1 gap. Will the bulls keep the upside pressure on? Will the apparent resistance win out? Was the French election all that was holding back the buyers? I guess we will find out in the days ahead. The short term trends are up across the board.
This is a warning sign for the bull market.
Charles Schwab, the investment brokerage firm, announced that the number of new brokerage accounts soared 44% during the first quarter of 2017. Schwab stated that individual investors are opening up stock trading accounts at the fastest pace the company has seen in 17 years.
You might recall that 17 years ago was when the dot.com bubble popped. Wall Street can no longer say this is a hated bull market. This is the final phase. The question is how long will it last and how high will the market go.
Bob
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