The Market Trend Model (http://bitly.com/M_Trend_Model) continues to show a positive bias as the market indexes closed at 52-week highs on Friday. Both the S&P 500 (http://scharts.co/TUsQTL) and the Russell 2000 (http://scharts.co/TUtyAz) closed the week at all time record highs. The Nasdaq (http://scharts.co/TUrh8h) closed at a 15-year high. After ten weeks of consolidation it appears the bears have been worn out finally.
Earlier this week I read posts from several market pundits who warned stocks could not possibly rise because of the many headwinds facing economies across the globe: continued unrest with Russia in the Ukraine, crude oil is going to $20/barrel, Europe will collapse because of an impending "Grexit". One pundit even asked, "When does a 'Darvas Box' become a casket?" (Darvas Box Theory http://ow.ly/J2IUY). Despite all of the "headwinds", the market has climbed the wall of worry to new highs.
True trend followers are not swayed by market commentary, no matter how insightful or reasonable it may seem. Trend followers follow price movement ~ and the market direction then becomes self evident. How far or how fast the market moves from here is anyone's guess.
At the moment, stocks are on the rise...until they're not.