While we believe further upside is possible in stocks, some patience remains in order. The weekly chart below is still bounded by the two thin blue trendlines; one from the July 2011 high and the other from the July 2009 low. A break into the white triangle above would leave the thick blue line from the October 2008 highs as the next possible destination.
The 200-day also stands as a possible source of resistance.
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