Ever higher peeks and shallower bottoms. The trend continues and that means only long positions from now on.
Although the trend is long it is too risky for new purchases, because after every top there is a corrective, short-term movement. We need to wait for a new correction and better pleases for new purchases with less risk. Less risky entry place will be when the index reaches the 50 day moving average, breach beneath it and a new uptrend.
That will give us an entry signal. That also applies for the diagonal support. The market sentiment will change during this week. The US balances will dictate the market movements and the volatility will be strong. That will give us the opportunity to buy on the levels around the diagonal support.
The market sentiment is positive and the trend is long. Now traders accumulate expectations for good financial statements of the U.S. companies. This means that before the first few accounts, we may see a slight increase in the market, but if they disappoint the investors, that will bring a new adjustment.