Another gap up day with only the fiscal cliff hopes. For one side I am happy. Ever since November 16, 2012. I talked about the 45 day rally. The extraordinary inverse head an shoulder pattern formation have been going on solid run. The $NYMO went back down to a neutral level last Friday  and yesterday’s run just made a very small move, meaning we still have a lot of space to run. There are 2 important levels I will be looking today. the 144.10 and the 144.60 level. The second one would be one of two scenarios. A break out to new highs, or a double top on multiple time frames.

Sentiment on the stream is extra-bullish. I like that but I need to have my levels in mind so I have an idea of how much higher we can go. And as far as I can see this 144.60 is going to be a big tell.

$SPY 1st support is 142.91, 2nd support 142.60, and 3rd is 142.21.

$SPY 1st target is 144.10, 2nd is 144.60, 3rd is 145.19, and 4th one just for fun is 146.16.

Trade what you see not what you think.

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