Islands in the stream,
That is what we are.
No one in-between,
How can we be wrong?
Traders have to be humming this Kenny Rogers/Dolly Parton classic after the past few trading days. The S&P is now working higher above two, overlapping island reversals, an unequivocally bullish development.
UPDATE: Arthur Hill of StockCharts.com, a much more accomplished technician than I, wrote about this same formation in the QQQ. He concludes, “ In general, a gap up is considered bullish as long as it holds. The gap zone turns into the first support zone to watch. A bullish gap should hold. Failure to hold this gap would be bearish.”