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Over the past few years, Europe has had strong rallies, which have formed rising wedges. Two thirds of the time this pattern leads to lower prices. Of late support lines could be breaking in France, London & Germany.

On the opposite front, China and Hang Seng have lagged the world performance wise and both are attempting to break above mulit-year resistance lines.

The S&P 500 is at the top of its steep multi-year rising channel. When it comes to the next big move, will the S&P 500 follow Europe if it continues soft or will it follow China should it continue higher???