SPX (S&P 500) 2-Hour Chart S&P 500 NEW ALL-TIME RECORD HIGH

The SPX prints a new all-time record high at 2139.34 and the day has to still play out. The S&P 500 has never been at this level in history. The SPX will need to remain above 2030.82 at the closing bell to print a new all-time closing high. The central bankers are powerful. The BOJ is planning to pump markets with more easy money and the NIKK rallies +4% overnight. It is a bullish market orgy around the globe.

The drop and 'V' recovery after the Brexit vote is obvious on the chart. The blue lines show an island reversal pattern when stocks bottomed after the initial Brexit collapse. The BOE stepped in promising more stimulus and lowering bank regulations which created the bottom. The central bankers are the market. Stocks gapped back up through the gap on the downside creating an island reversal. Stocks continue to rally expecting more juice from the ECB, PBOC and BOJ. The Fed will not be able to hike rates since inflation will not occur due to lack of wage inflation so that keeps the easy money flowing State-side. Every day is a party. Fed Chair Yellen is carried around on trader's shoulders as everyone is drunk off Fed wine and buying stocks with reckless abandon and total disregard for valuations. The party is in full swing and the band is playing Happy Days are Here Again.

The red lines show neggie d forming on the 2-hour chart. Stoch's are overbot. The green lines show long and strong behavior for the indicators which desires a higher high in price. The MACD line is long and strong so the expectation would be for another run to new highs (above this morning's highs) in the one to three hour time period ahead (this afternoon). Thus when price comes back up, say, while you are eating a lunchtime sandwich, check to see if  the MACD rolls over with negative divergence. If so, the top is in. If the MACD keeps sloping higher than price will want to make another higher high in the 2-hour candlestick timeframe.

The low CPCE put/call was highlighted previously. This is consistent with a near-term market top occurring at anytime forward; it may be hours or a few days. The 2-hour chart above hints that this afternoon is a candidate for the market top, however, the daily chart shows subtle signs of further buoyancy. Thus, what may unfold is a top this afternoon then down a day or two but back up to the current highs again, say, as the banking earnings hit the tape later this week.

Sticking to the here and now, the 2-hour hints that stocks may top out this afternoon, as long as the MACD line curls over to the downside as price makes a new high. The VIX is up and stocks are up today so one of them is wrong. 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 11:22 AM EST:  The SPX new all-time high is 2140.69. RSI is flat. MACD line remains long and strong but other indicators prefer negative divergence. Thus, price may need two candlesticks to jog down, then back up again for another higher high; when the MACD line may roll over with neggie d. So a potential market top is between 2 PM and the closing bell, otherwise, tomorrow morning.