Day Trading Post #56

I already have one post today, but I here is my second post which I though I should make separate instead of continuously updating Post #55. Anyway, the market has been range bound lately, and it seems to me that we might just break out of this range. In post 45, I laid out my thought regarding the market, and we did have a slight pull back but we didn't break down and see the market crash as we did last March, or last November 2008. With that said, I am more bullish now due to what I see on the weekly chart. I laid out my interpretation in the attached image as to why I am bullish. Review it and feel free to comment.

Basically, I see that we are coming to the top of the range we have been trading in on the S&P cash since April, and I feel that we now have multiple indicators that are showing us we are ready for a move up. As of now, I see the formation of an Inverse Head and Shoulders pattern in which we are testing the neck line. On top of that, the Stochastics although still in an overbought region have crossed over to the upside which is bullish as well. Along with that, it looks to me like we may see the 20/50 EMA crossover to the upside soon enough if we continue holding our current levels or push up further. If that's the case, go long and hold! With 2 indicators and a 3rd one setting up, I like the odds that the market will be and is in fact trending up. Maybe I'm an optimist, but that is what I see, and that is my interpretation at this point in time.

S&P Chart Below: