Here is a bar chart of the cash S&P 500. I've sketched the price boxes defined by the initial rally off of the March 17 low at 1256. These boxes are 104 points high. I think that we are in the midst of a rally that will carry the market at least to the top of the second box near 1464. I should note also that the 1440 level is the 1 7/8 multiple of the 768 low of 2002 while 1248 is the 1 5/8 multiple of the same low.
As you know I am very bullish because I think the panic of the last two months has forced most people to the bear side of the ledger. I see a very substantial base which has developed over the past three months in my point and figure chart of the Spiders. This base counted very conservatively will support a move to 1570. If counted normally it supports a move well above the 1600 level.