Another day, another new all-time high in SPX. The push higher continued today, even though it lacked momentum – at least in SPX. The new high was only by about 3 points and SPX spent most of the day in a pretty narrow range.

The trend lately has been to slightly gap down in the morning, run higher for the first hour or so and then sit there all day. This is your typical summer time price action. I would expect more of this in the coming weeks.

Today marks the first close above 7600. As the push higher continues, 7650 is the next milestone followed by the upper end of the weekly expected move around 7680. With AVGO earnings right around the corner, that could be a catalyst to get us there.

The daily chart looks clean with only 1 red candle in the past few weeks. The size of each candle seems to be getting smaller, which could be an indication of momentum running out in the near term. SPX is inching higher as opposed to leaping higher like it was earlier. Not much to read into as this is expected since we have low volume and a VIX in the 15s.

Volatility has mostly exited the market and every small dip of 20-30 points is being bought up quickly. It is a very orderly and structured up move. Eventually, we will get a candle that breaks structure but for now we can assume that every micro-dip can be bought.

The swing low from 5/19, just a couple of weeks ago, seems to be the start of the current leg up on the smaller timeframes. If this structure breaks, then the area between 7520-7560 becomes the most likely entry point for the next push higher.

It would take a lot of bad news or some sudden shock to send us lower than that. I do think the 7475 area is the absolute bottom floor for now. I do not even expect to reach that. I think 7520 would be a stretch, but if it came that would definitely be an entry point for the next long swing. Anything under 7560 is a buy in my opinion.

The trend is strong and the pullbacks are short lived and small. Microdips is what I’m calling them. The probability of success on buying a ‘microdip’ is pretty high right now.

Whether you agree with what the market is doing or why it’s doing it, is largely irrelevant. As someone who likes to think of himself as a logical person, my brain is having a really hard time trying to make sense of this market. To save myself the trouble, I’ve tried to turn off the logic and buy the dips where I can. I suggest you all do the same.

We have not even entered euphoria yet, and as my NQ chart showed yesterday, there is still a lot of time left in this party. We’re just getting started.

Good luck!