The first time the e-SPH popped to a new all-time high above 2088.75 was last Friday, Feb 13.
Today marks the fourth session since the establishment of a new all-time high, and despite near-term overbought conditions, some lousy economic data, and geopolitical uncertainties, the equity index remains perched right at its highs!
I can only conclude from the action that there is no selling pressure up here (duh!), and that the last 4 sessions represent a very high-level digestion period (or a sideways correction) that has worked off the overbought condition, which, if true, means that any hour now, the index should take off to the upside into a new upleg.
Should such a scenario unfold, then the next upside-target zone for e-SPH is 2110/20.
To invalidate the start of a new upleg, the e-SPH must break below both 2087.25 and below 2080.75.
As for Oil, today's strong rally off of the corrective low at $49.82 has the right look of another significant pullback low coordinate within the Feb sideways-digestion zone.
If that is an accurate statement, then Oil should be heading towards a challenge of the high side of the range at $54-$55 next.
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