Chart of the Day - Thursday, August 6th, 2020

Today’s Chart of the Day was shared on Twitter by Aaron Jackson @ATMcharts. It's a daily candlestick chart of the S&P 500 over the past year. Aaron points out that price closed the February 24th gap today. A couple of weeks ago, we noted that this gap was pretty much the final level of potential resistance standing in the way of all-time highs. Why do we care about all-time highs? For starters, it's simply the single most bullish thing that can happen to an asset. Once price reaches new highs, there's virtually no overhead supply, or price memory to prevent it from making another leg higher. If you don't believe me, take a look at what Gold has done since it broke out a few weeks ago. Without getting too ahead of ourselves, the S&P 500 is still about 1%  away from an all-time closing high. But, now that the massive gap from February 24th has been filled, what's left to stop this proverbial rocketship from blasting through the atmosphere? **knocks on wood**