12pm Update

Bulls need to PUSH PUSH PUSH. They can't let the rally slip back and reverse, or we'd be looking at a very strong reversal. So long as we remain broadly above the 10MA on the hourly cycles...the recovery is on track. Primary target would be 1395/1405 tomorrow..or early Monday. Whether we can go any higher than that....we'll just have to wait.

*Google earnings at the close..and JPM/WFC tomorrow morning.
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Sp'60min

Transport, daily, rainbow chart

Summary

Bears are clearly on the run...and as noted earlier, no one should be short right now. The fact the Transports are already showing a green candle on the rainbow chart.. that is a VERY big warning to the bears. Just 1 more up day..and we've got a real trend underway.

In the very near term...trend is up - and the daily cycles certainly support that. The monthly cycles are still a real problem though..more on that later though...after the close.