As the outro from a March 27 post we noted:
....Now the question is: Is the double top for real (implying a fall to the last major unfilled gap at 660-ish) or is it the start of a series of bounces against resistance before breaking through to the upside?
A reminder, that February decline-then-gap-up was the lead-up and reaction to the earnings release that everyone knew would be very good but was an absolute blowout. Everyone knows the next report is going to be very good but....
That one still hasn't resolved the question.
And now we see:
Tomorrow's inflation number should give us some clarity on a market that seems to be holding its collective breath. For what it's worth the Cleveland Fed Inflation NowCast is looking for headline CPI at 0.34%, which, if the exponent button on my abacus is working correctly annualizes out to 4.16%
