The U.S. stock index bulls have made a strong recovery this week, after last week’s steep slide that produced some temporary chart damage. Last week’s bearish “key reversal” down on the daily chart for the September e-mini S&P futures has been rendered moot by this week’s strong gains. U.S. stock index bulls have the overall near-term technical advantage. However, new highs will have to be scored give the bulls the solid power to suggest another leg up in prices in the coming weeks. Remember that the historically bearish months of September and October are right around the corner. Stay tuned!–Jim
