SPX & Cycles

http://trend-signals.blogspot.com/2008/05/hyperinflation-dow-us-debt.html

6/6/08 +/- is a pivotal turn date. We have important cycle turn date near 6/6/08 +/- which will show a directional confirmation.

Because it is a pivotal, important turn date, I would not jump into a haste market projection; nevertheless, I think that it is important to determine overall market direction to guide technical signals. Breaking out the recent high is technically bullish which is not justifiable at this time, in my view.

SPX and VIX are showing symmetrical and inverse price actions.
We have important cycle turn date near 6/6/08 +/- which will show a directional confirmation.

We are in receding 8 - 8.6 global cycle which started in Oct 2002 within VLT cycle which is "winter" season of Kondratieff long wave cycle. This is evident after having ARM crisis and still having derivative bubble in addition to US debt.

While traders turned bullish with the recent up-price swing since 3/17/2008 anticipating the normal Presidential election bullish cycle which we have seen in Aug 2008 rallying into EOY, I do not think that we will see the same 2004 scenario in 2008.