For 40 straight sessions (July 13th-September 8th), the S&P 500 traded within a
2% range (2147-2193), within just 1% of an all-time high! It was the major
index's tightest trading range in 50 years! The last time the stock market
approached such a narrow range was 1995, and it resulted in one of the most
explosive stock market rallies in history; the S&P rose from 460 to 1,280
between 1995-1999; a 180% gain in just four years! However, each time there has
been such a range-bound market of this magnitude, there was a break lower JUST
BEFORE ITS HUGE UPWARD MOVE. Friday may have begun this "pullback before the
explosive rally."