If you take some little leverage and then increase on your position on every new high because you are in more gains, then it is like self-running stock index because of the extra liquidity. I mean, the liquidity of the SP500 Future is not large enough for this. Just imagine. If you buy 500 contracts on every tick, which is just ca. $100 million in full contracts Dollar worth, on a ca. $40 trillion market 0.1% increase of new highs means $40 billion more market cap, that would be 4.75 points right now. So every new tick would be then like $2 billion more market cap rounded. And there is no group of market participants buying 10000 contracts on every tick with new highs. Just imagine there is 1.1 leverage in the whole $40 trillion SP500 market. It means then 1000 contracts on every new higher tick on new highs would be or should be bought. So the bulls are or could be the driving forces behind themselves then. Imagine.
