According to reliable sources, the S&P futures have only closed positive 9 sessions in a row twice since 1987 prior to today. However, the March contract closing in the green on Wednesday makes it three times. The others occurred in 2003 and 2009.
The index has only posted gains in 10 consecutive sessions once and has never closed higher 11 in a row. Another startling stat, S&P futures have closed positive in 16 of the last 18 sessions and has moved over 100 handles from the early Feb low.
The market is clearly overbought and due for, at minimum, some back and filling but there is no telling how high the squeeze could see before stocks turn over. Our resistance in the March S&P at 1148 held but we are hearing that there are a substantial number of stop orders accumulating above 1148 which run through 1153ish….so there could be one more run left in the move. The question is, will there be any bears left to benefit from a potential correction?
It feels like this market wants to go up forever, but that is usually when it doesn’t. near term resistance in the three major indices is 1148 (March S&P), 1921 (March NASDAQ) and 678 (March Russell). However, it seems like a blow off top could bring us to the next levels…1153ish, 1940 and 683.
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