Market Update - 4/14/2010

We broke through 1200 today and never really looked back. We kept going up all day and right closed on our highs. The only reason the 1210 pivot held is because we ran out of time. I'm sure it would have broken above it if the closing bell didn't ring.

1225 is most likely the next target is 1210 is taken out, which I expect it to. There are no bearish signs anywhere, except that we are overbought and diverging... but this really doesn't mean anything.

Both of my counts on the Nasdaq and SPY show the samething. We are in the middle of wave iii of (iii). The most bullish wave in this short term structure.

We should continue higher if this is going to play out. Watch for 1225.

The SPX daily chart also had a bit of a throw-over above it's upperline of this ending diagonal.

These throw-overs are comming in diagonals. We are also at some resistance at 1210. 1225 is also around the 61.8% Fib retracement.

All of the major indices have crossed major hurdles. The SPX broke 1200, the Dow broke 11000 and the Nasdaq broke 2500. The market is in a very bullish mode. The only real bearish thing is that there are no bears left. No one to sell. The VIX is dead, volume is dead, internals are dead.

If by some miracle, we break below 1200 and perhaps 1191 tomorrow, we could see further selling. But as long as we remain over 1200, most wave counts will be bullish.