"I am sure you look at SPX all day long, nevertheless can you share your thoughts on similarities of 2005/06-2008 move and recent rally and sell off? It's like same tape once again ....who/how will stop it if it cracks?"

David Fuller's view Sure. We saw three ascending highs within the 2007 top formation and one lower high before the 2008 top completion. What we have seen since January this year resembles the first two ascending highs in 2007. Chart patterns are often similar (prices can only do three things - go up, down, or sideways) but it is the full context of these events that determines their significance.

For instance, the S&P was in the 5th year of a bull trend as the 2007 top formed. The recent advance has been of considerably shorter duration. In the earlier cycle central banks were raising interest rates, not least because commodity prices were surging, with crude oil's spike being the biggest threat of all. Long-dated government bond yields were rising back then, but not today. I could go on but you get the point.

None of this guarantees that we will not see an identikit top with similar implications. However life is seldom that simple.