Lift Off

The markets are soaring higher today on a "resolution" to the European debt crisis.  It is hard to argue with the tape as the markets have staged an unbelievably impressive rally since the first week of October.  The news out of Europe was just fuel for the fire.  The markets have been overbought for a couple of weeks but that has not stopped the bulls.  Significant resistance levels were taken out today and higher prices look likely for the rest of the year and into next.  With the European debt issues off of the front pages for awhile, the markets can focus on a slowly improving US economy and earnings that have turned out to be better than many expected.  There is no doubt that Europe will return to the front pages in the coming months as the current solution just buys a little time.  Spain and Italy remain embroiled in their own economic troubles and their economies make Greece look like a pittance.  But that is an issue for another day.  Today the world markets are celebrating and the celebration should continue on for awhile though there will be bumps along the way.