All clear for new all time highs.......

SO we had a scare of biggest German bank facing solvency issues and its related impact on worldwide financial system, on Thursday, it looked scary, but by Friday, it became a non event, that is the reality of Wall Street.

Indices are all set to make series of new highs in a hurry.

Here is how indices are positioned in terms of new highs and RSI :

Nasdaq      .58% from new all time highs

S&P 500 1.16% from new all time highs

Dow       1.93% from new all time highs

Here is the RSI picture :

Nasdaq    59.64

S&P 500 52.48

Dow       50.64

As you can see from above 2 tables, Nasdaq is all set to make series of new all time highs. 

RSI is telling us that we are not overbought.

Technology has been a big winner last week, despite DB disruption.

Most sectors are participating in this rally.

Transportation & Pipelines are also making a move, on positive regulatory moves in Canada.

Gold is the only laggard, but, they could join the party also.

It is the jobs report on Friday, but by that time, we should be sitting on new all time highs in most indices.

Even IF we get a hot jobs report, probability of which is very high, setback could be temporary, and we could be on the UP move again on Monday.

Q4 is here which is the strongest and seasonality is favorable.

Stay with this market, and ignore usual noise of CNBC & Wall Street, both are the same avenues for perma bears and those left behind, in this strong rally.

Good luck with your own thesis and comfort level.

BLOG does NOT give buy or sell.

Saleem