True Trend Day Up!

You don't see an absolutely perfect true trend day up very often in the indexes.  In fact, today's example is as perfect as it's ever going to get.

Many ducks in a row need to line up, and even then, it's probably just luck for the biggest stock index contract in the world to not find SOME seller SOMEWHERE step in and ruin the party -- if only for a minor blip down.

But the true trend day will almost every time have some major structural cue(s) and reference level in which to launch it.  Today it was from a mechanical overnight liquidity test, and reversal, of the established range swing lows, combined with the previous session posting a near perfect trend day down.  The extreme selling prior day really added fuel to the fire and signaled to the astute trader to "watch out" as the up move unfolded.  We've discussed the last couple of days that the market is in "washing machine" mode and today was a particularly poignant example!

I do feel that this vicious trending action each way is going to ultimately resolve itself as a major top with significant downside the ultimate resolution.

Again, this top call ultimately rests on the monthly chart rejection at all time highs.

You day traders just can't forget this stuff!

The last trend day was 2-27-13.  Let's take a look.

Now for today's action...