To answer several weekend emailer’s questions: I see no reason why momentum wouldn’t carry indices higher short term: Watch Dow 13k, S&P500 1500, and $700 on Gold. (Note that Friday was an expiration day, which tends to wreak some havoc).
These levels aren’t particularly meaningful, other than for some minor psychological factors. They are big round numbers that make for good headlines. We may see them sooner or later, but the odds favor eventually.
More important are things like the fundamentals (decaying domestically), the trend (upwards), the momentum (still there), liquidity (still sloshing), interest rates (unlikely to drop in the near future) and the earnings (fading).
That’s a mixed picture, with momentum, liquidity and trend overruling (for now) the other, more fundamental aspects.