Market headwinds persist while tailwinds subside slightly. The S&P 500 remains historically overvalued , while the bullish effects of massive fiscal stimulus persist but are subsiding. The S&P 500 has traded within a range around 3250 (red line) to near 3600 (green line) for the past couple of months: The S&P 500 will likely continue to trade within a range until earnings catch up with stock prices and/or additional fiscal stimulus arrives. When the S&P 500 breaks out we believe it’s more likely above the green line than below the red line. We believe the S&P 500 is in a bull market and are bullish for the upcoming month. This report reflects the current opinion of the author. The report is based upon sources believed to be accurate and reliable. Opinions and statements about the future expressed in the report are subject to change without notice. The report is not a solicitation or an offer to buy or sell any security.