The Fed's big mouth Yellin is yelling and the market is running for the hills. On economic news that should have been good for the market, the Fed once again managed to make it bad news by insinuating the re-start of rate hikes and possibly even more quantitative easing (which would become QE4).
Since the beginning of 2016, the Bulls have fought off all market drops, and the S&P 500 is up for the year. In the last 2 months alone, the Bulls have offered very strong support at 204.0 on the SPY. To be exact, the SPY has amazingly hit and bounced up off of its 204.0 downside support level 12 times in the last two months (see graph below)!!!
We believe that the SPY "break-out" from 204.0 will be volatile and could lead to a major move up or down (i.e., new highs or a market crash). Or course, none of us know for sure which way the market will go from here, but we believe that MIPS will figure it out quickly. Stay tuned and watch closely !!!