BPSPX S&P 500 Bullish Percent Index Daily Chart

The BPSPX remains on a double-whammy buy signal (green arrows). The bears were on easy street in May but the BPSPX bottomed at 49. The six percentage-point reversal to 55 was a stock market buy signal and then the move above 70 is the double-whammy buy signal.

Price peaks at 75.60 on 7/17/19 so a six percentage-point reversal would be 69.60. The stock market will be in trouble with a sell signal if the 70 level is lost. A double-whammy sell signal will occur if the 69.60 is ruptured and equities will be crumbling lower in earnest. All the bulls have to do is keep the BPSPX above 70 and they will keep whistlin' Dixie all day long as stocks climb higher.

The stock market typically floats higher into the Fed decision, which is Wednesday afternoon. The new moon peaks for the month at 11:11 PM EST Wednesday evening and equities are typically weak moving through the new moon each month. Interestingly, these two seasonality-style factors point to a market that floats higher into Federal Reserve Chairman Powell's press conference on Wednesday afternoon and then rolls over to the downside for Thursday. It will be interesting to see if these effects occur. Bulls win if the BPSPX remains above 70 but the bears will growl below 70. 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 7:52 AM EST on Thursday Morning, 8/1/19: Today is the first day of trading for August. The BPSPX drops to 70.40. The stock market bulls remain in the game; they are working hard overnight dragging sofa's, chairs, tires and other debris into the street to form a barricade at the 70 level. Bulls must hold the line at 70, otherwise, as explained above, equities will collapse if the BPSPX loses the 69.60-70.00 level.

Note Added Sunday, 8/4/19: The stock market falls apart lower on deterioration in the US-China trade talks and the Fed aftermath. The BPSPX plummets to 61.40 and is now on a double-whammy sell signal.