Just a quick update and technical take on the market.....
The above chart is the S&P 500 Spider (ticker SPY) on a five-year chart. The market has been climbing a wall of worry on weak volume. I have commented on volume a number of times before, and although investments can and do trade up on weak volume, it is my opinion that the volume/price relationship provides insight into the supply and demand lines. I remain concerned that the price/volume relationship suggests that supply and demand balance for stocks leans towards the supply side. In addition, I am also concerned of the apparent divergence is the recent price trend versus the trend in the RSI and MACD. That said, and to reiterate an opinion I stated before, both today's move and the September 6th break above the previous high suggests a run to higher prices. It is my opinion the SPY will hit the $150 level, which is the last higher volume swing point back in 2007, and this where more information will be released.
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