Stocks are running out of momentum

Emini S&P September futures

• Emini S&P hit my next target of 6352/55 with a new all time high just 2 points above.
• The index has really only traded sideways since jumping higher on the 3rd of July despite making the odd new all time high within that time.
• There is no indication that prices are about to collapse.
• So I cannot suggest a short position but having said that, a drift lower to 6235/6215 would not surprise me in the coming days or weeks.
• Of course further gains are always possible in such a strong bull trend and we may just be stuck in the normal consolidation phase.
• On a move higher the next target is 6365/67.
• Eventually 6377/80 & even 6390 is possible.
• We closed the week below 6343/38 which is not the strongest signal but it's still not a sell signal
• Minor support today at 6335/30 but below 6325 meets a buying opportunity at 6315/10 and longs need stops below 6300.

• Nasdaq September futures
• Emini Nasdaq break higher hit my targets of 23150/155, 23220/230 and 23300/310 within new all time high almost exactly here.
• Again there is a risk that we are running out of momentum and need a correction to the downside but currently there is no sell signal.
• Holding above 23250 today & we can retarget 23300/310
• Eventually we can reach as far as 23350/370 & 23410/430 with 23500/510 certainly not out of the question.
• Look for support at 23180/160.

Emini Dow Jones September futures

• Emini Dow Jones reversed from 44858
• I am not sure about the bull flag pattern but if we do continue higher at the start of this week look for my targets of 44940 & 45040.
• Further gains retest the all time high at 45177.
• A break higher tests the trend line at 45350/400.
• We should find support at 44430/44400 & 43950/43850.