Here’s a repost of my May 19th chart. The underlying structure continues to look more bullish than bearish. A break out of my shaded fib zone will confirm the direction of the current swing move, however my bets are all aligned more on the bullish side right now. This view matches my take on the currency charts which I see sending the dollar lower very soon. We’ll see but so far nothing has changed in the past couple of weeks. Apparently I have been using a variation of what Avi calls Fibonacci pinball for over 10 years now. I’ve always liked fib grids to anticipate support and resistance levels that aren’t intuitive with just simple trendlines.

NYA

Also check out the action in junk bonds. Conditions are ripe for this SM move higher to get extended. It may not end well!….but it’s moving higher for now.

HYG