Dear New World Investor: The S&P 500 ended the week and the quarter with its fourth positive day in a row and at a new record high. The Nasdaq and Russell 2000 also finished at records. The Dow Jones Industrial Average looks like it will join them on Monday. The fractal dimension is fully recharged, so it is possible that another upleg is beginning. But I really, really doubt it.The VIX Fear & Greed Index closed Friday at 9.51, matching its mid-July low. As I’ve marked on the graphic, it is very hard for the S&P to go up when...

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The S&P 500 looks like it is finally ready to break out to new highs over 2200. As the underinvested and bearish hedge fund managers get back from the Hamptons, the high fractal dimension on the daily chart can power a move that will put tremendous pressure on them. I expect this upswing will last to the September 21 turn date, although I’d rather see a decline into that date to set up a surprise October rally. Gold bounced off $1,306 and touched its 38.2% retracement level on Friday. The fractal dimension dropped through 55 on Thursday and the trend...

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Although the S&P 500 futures are up five points in overnight trading as I write, I’m expecting a consolidation week to build up the energy for the next leg up. That could mean sideways action just under the highs, but it is more likely to mean a drop back to the 2116 breakout level to flush out some of the hot money and keep the bears from realizing they’ve made a mistake. The subsequent rally is likely to last into September. Gold has calmed down with the news that the coup in Turkey failed. I still think it has a...

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The Half-Price Annual Subscription Offer Is Closing For Good In A Couple Of Days Please click HERE to take advantage of it. There is enough fractal energy to keep the S&P 500 in the 2050-2060 range for the next six trading days to the March 29 turn date, but probably not enough to push much higher. After March 28 we’ll most likely see a 38.2% retracement of about 100 points to the 1950 area to consolidate this upturn. That would set up the big upswing in May and June. One reason to expect some weakness in stocks is that the...

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