http://stockcharts.com/h-sc/ui?s=$SPX&p=D&yr=0&mn=9&dy=0&id=p83750808625&a=214966864

Actually, on the contrary.  We have been crawling all over this market looking for the first signs of  the inevitable downwave.  Haven’t found it yet, and after a while when you don’t find bad news you begin to fantasize.  Or maybe invent it.  Nonetheless we thin that next week will be the denoumet.  After all the real traders will be back from St. Moritz and Aspen bringing their sharp knives and refreshed for a new attempt to create a market top.    Of course it is absolutely impossible to know how severe the downwave will be, and it is worth noting that the last seven days leave the market extremely vulnerable.  WE are even thinking about putting on a hedge.  Usually we wait for a down day signal to do that, but….

Here is a close up:

http://stockcharts.com/h-sc/ui?s=$SPX&p=D&yr=0&mn=6&dy=0&id=p83257770514&a=266398464

By no means do we think the party is over.  The major trend remain strong up, and the PnF chart is pointing at 1990.  It’s just next week we’re worried about.  On the other hand after it is over a buying opportunity will present itself.