Warranted or not, the SPX is on a roll and continues to move higher. This channel break is fairly significant given that it has provided key areas to trade around since May so the move and continuation through it could very well be from bears taking the anticipated trade off.
I see this market becoming more attractive to a trader who has a full list of long/short ideas. Having selective trades on each side will provide protection for whatever this market throws at you and with market breadth deteriorating you can make money long and short all while the market continues to inflate.
Side note: highest RSI level of the year is 74.5 so keep your eye on this as it just passed 70.5.
I see this market becoming more attractive to a trader who has a full list of long/short ideas. Having selective trades on each side will provide protection for whatever this market throws at you and with market breadth deteriorating you can make money long and short all while the market continues to inflate.
Side note: highest RSI level of the year is 74.5 so keep your eye on this as it just passed 70.5.