Never one to waste time, I immediately changed from bearish to bullish mode as soon as I heard the WSJ report on possible tariffs removal from an extremely respected reporter, Bob Davis. I think it was a trial balloon from the White House and I expect some form of tariffs removal will be implemented.
Of course, all this could come to nothing if there is no progress in the Trade Talks and/or earnings or other factors turn the markets around to close below SPX 2626 (see yellow line in chart below). We will cross that bridge if and when we get there, but for now I think the market will challenge the 200ma average (mauve line in chart below).
As always, nothing is cast in stone so be ready to reverse when you have to.
More later
