SPX S&P 500 2-Hour Chart; Overbot; Rising Wedge; Negative Divergence

Okay, the circus moves through town over the last few days into the Fed meeting. Bulls goose stocks from late last week trying to keep equities elevated into this week so the expected bullishness in front of the Fed meeting would occur; they succeeded. China stimulus helped by sending copper higher creating lift in the stock market. For OpEx week, a Tuesday low typically leads to a Wednesday high so more bullishness helped keep stocks elevated into the Fed event yesterday afternoon.

Stocks rally today and the SPX 2-hour chart shows matching highs above 4390 but all the indicators are negatively diverged identifying a top. The rising red wedge is bearish. The RSI and Stochastics are overbot agreeable to a pullback. The new moon peaks for the month on Saturday so stocks may be soggy from Friday into Monday.

A drop in stocks should begin now (neggie d spankdown) going forward in the hourly time frame. The middle band at 4341, and rising, is a downside target. This information is for educational and entertainment purposes only. Do not invest based on anything you read or view here. Consult your financial advisor before making any investment decision.

Note Added 7:45 PM EST: What happened? Madame Lagarde and the ECB send the euro catapulting higher tanking the US dollar sending US stocks higher. The stock market is in a melt-up and the bulls can do no wrong. Positive news appears at the right intervals to keep goosing price higher. Bring up the SPX 2-hour chart. The pump occurs due to the ECB decision so the SPX price makes a new high up at 4439. Wowza. The 2-hour chart remains neggie d except for the RSI and MACD line that are long and strong. The RSI and stochastics remain overbot. The RSI is flattish so it will easily roll over from this nosebleed position. The MACD line likely needs a jog move to line out with neggie d so the top can be placed, again. Perhaps there will not be news that saves the day when that occurs. There will be new candlesticks on the 2-hr chart at 9:30 AM EST, 10 AM, noon and 2 PM; it is the way the stockcharts programming is set up. Thus, a jog move (down-up) would place the top in the mid to late morning time frame (tomorrow (Friday) morning, say, between 10 AM and noon). Bring up the SPX daily chart. That was a rocket launch today. Keystone is bringing on index shorts and is taking it in the shorts. Ouch. Keybot the Quant remains long. The histogram, stochastics and money flow are neggie d on the daily chart but the MACD line and RSI receive a push higher requiring a jog move on the daily basis to top-out. The revised analysis after the bullish orgy today sounds a lot like the previous analysis. Stocks will top-out Friday morning, probably soggy into and through Monday, but then recover again to current highs next week, then roll over and die on the daily basis. UTIL moves above 916.25 today a big win for bulls. Watch the utilities tomorrow. Copper rallied helping the bull case. Mr Softy is at a record high. Everything's Coming Up Roses as Ethel sings. What do you think? Maybe bad stuff overnight and a Black Friday tomorrow?

Note Added Friday Evening, 6/16/23, at 7:13 PM EST: The major indexes all topped-out minutes after the opening bell this morning. The SPX receives the start of the neggie d spankdown on the 2-hour chart tagging the HOD at 4448, then falling on its sword, down to 4410 at the closing bell. LOD 4407. Now we see if the bears got legs. Winners and Losers, Heaven and Hell, which one did you live today? The new moon peaks this weekend the darkest time of the month. Stocks are typically weak through the new moon. There will likely be increased activity in the Ukraine War over the coming days since the Ukraine troops are loaded for bear with night vision technology ready to rout out the Ruskies in the pitch-black darkness (they were likely waiting for the new moon). The bears finally get a chance at steering the stock market ship. The stock market will be closed on Monday for Juneteenth. That holiday came out of left field many probably do not even know the markets are closed on Monday. Keystone is a white dude but he has been retired for many years so you can say he is free from slavery also. There was no Black Friday. What do you think? Maybe a Black Tuesday?