Moment of Truth

Today we should get the answer to the question where SPX is breaking up towards the next upside targets, or will fail at the retest of the 1902 high. early indications favor the bulls so far and I'll be watching this rising megaphone that I posted on Thursday night to see whether it breaks up, very possibly at the open. If it does, and the gap doesn't fill, then that should be a bullish breakaway gap. SPX 15min chart:

If SPX does break up then I'll be looking for a hit of rising wedge resistance on the 60min chart. I have that in the 1935 area at the moment,. and rising of course. SPX 60min chart:

That resistance is backed up by the primary rising channel from the 2011 low with resistance in the 1940 area. In the short term the weekly upper band closed at 1911 last week and could close this week as high as 1921. That is generally strong weekly closing resistance. SPX weekly chart:

Until demonstrated otherwise the bulls have the edge today and I'm favoring a break up. The megaphone target would be with significant resistance levels in the 1940 area and I'd expect a move there as long as a break up today can be sustained.