Yesterday, S&P 500 tries to break through and establish a new high for the year.
A key point to note is that it lacks heavy volume. Perhaps, this signifies the overall market sentiments. The market is just not ready to be bullish yet at this point.
On the Daily Chart, we can see that it seems that Tenkan sen is going to cut Kijun sen on the Ichimoku chart. But, on further inspection, we can see that the forward (or leading kumo) is thinning out.
And a Â thin kumo is the equivalent of thin support. With the kumo so thin, there is just a chance that if there is a correction coming, it may come very fast and fall very quickly.
On the Weekly Chart, we can also see that it is slamming right into the kumo. Unlike the Daily Chart, the kumo on the Weekly is thick; a sign of strong resistance moving forward. The kumo also suggest resistance all the way till S&P is at 800.