Replies to post #910 on Charts SYSTEMS

[northam43]

gdl- "If not than this could just be a rotational shift and higher highs till year end." Will likely need at least a Daily correction for this to happen. I have projected the current Weekly Phase 2 to extend. So a good chance we will see a new high before the year is out.

[gdl]

The Fed just announced its intent on the take back of 85 billion sugar rush per month. If the unemployment numbers didn't make that announcement nothing will. The numbers blew away everyone. look at the prior months revisions. look at the wage component that went up .5 percent in the last 2 months. look at 10 year rate.

Wall Street will not like this one bit. Higher costs, higher borrowing, and an acceleration in wages which translates to lower productivity. Looks like the 4 plus years being in the "sweet spot" for corporate earnings is gone. This will create a temporary disruption in earnings but if the economy is accelerating earnings will eventually catch up.

I will stick with my swoon in November followed by a rally in December. Lets see how todays move finishes.