My view as always been slightly skewed when talking about my bullish or bearish outlook on the equity markets. But sometimes I have to give in to what the market really wants todo. And right now the market really wants to go higher, with that said my target on the SPX is 1520.
1520 to me seems like a reasonable area of resistance, with money flow continuing to drive the equity markets higher. At or around that level I wouldn’t be surprised to see profit taking with large hedge funds or other large money managers unwinding and reducing their positions. This could send the equity markets in to a small shallow correction. How deep this pullback could be is anyones guess.
Looking at the Corn Futures its the opposite of the equity markets. I see some tight consolidation in a wedge formation. I think this spot would make for a low risk short with a stop right above the high in this consolidation around 735.75. You could potentially have a target at the lower end of the wedge range.