Old World Strength

The market is quite peculiar now, because the markets of strength are principally from the Old World. For instance, France (France!!?!?!) has sustained a very clear breakout, which it has tested successfully. Is there a renewed interest in 1974 Renault Le Cars or something? But the chart doesn’t lie (and all these charts, naturally, are from SlopeCharts).

Next door neighbor (and occasional invader) Germany likewise is sporting a clean breakout.

And, across the Channel, London’s bullish formation is right proper.

Other markets, though, remain less certain. Take Australia’s All Ordinaries, for example – – at the cusp of a potential breakout, but not there yet.

Indonesia likewise has been strong, but its chart screams “top of range” to me, not “breakout”:

Most important, of course, are the U.S. markets. In spite of the so-called “tech wreck” last week (umm, I guess a 2% drop these days is considered cataclysmic) there’s nothing bearish about this chart.

On the other hand, other big U.S. indexes are looking at the point of exhaustion, such as MidCaps…

…….and small caps………..

My go-to chart remains the S&P 500 and its projected extension top, which is only 1.6% away from recent highs. I think our nightmare may soon be at an end.