While the bear case remains challenging in face of a stubborn bid, the market script, for now, remains similar to 2007. And that script does not preclude new highs. Recall in 2007 markets rallied to new marginal new highs following the September rate cut before peaking in early October.

One sector may be key to watch in the days and weeks ahead: $BKX, the bank index.

Back then $SPX disconnected from the banking index for most of 2007 as $SPX has done in 2019.

For new highs to convince and give sense of sustainability the banking index needs to follow suit. A bull market without banks participating is suspect.

It too broke out to new highs in October 2007 even after the market had already peaked. Did it mean anything? No.

How's Goldman stock doing these days?

For now it looks to be forming a bearish rising wedge in 2019 following a topping pattern built in 2018.