The new month has started with a bang for the S&P 500. The U.S. benchmark index has risen to a new record high. The incredible bull run continues, now in its ninth year. Clear blue skies ahead? Well, not quite. While the latest breakout is clearly bullish in the short-term, there are three factors in particular that make me wonder if this is the final melt-up before we see a large correction.
Since late March, AUDUSD(CME:ADZ4) has been trapped in a tight range between support at .9200 and resistance at .9500. Over that time period however, the price action has carved out a large head-and-shoulders pattern.