Daily charts (you can click the charts for larger image):
SPX:
* 289 stocks in bullish mode. Minor uptick and staying below the weekly bullish%(333). That's an ongoing red flag. Be wary of new highs that come on weak participation. * BullsPower at 43, BearsPower at 12. Bulls keep the upper hand. * Above both Watershed lines = bullish. The dW at 6211 is on watch for a retest.
* ELC tentatively turns back up. Could be one day thing. ELC is too high here to be the possible start of another big rally * THRUST goes up. But could paint a bearish divergence * Not a healthy setup, so I am taking a pass. * The Repellor is at 6134. * BlueSnake is more or less sideways.
* Rotator goes down. Both components are weakening. * The Bands keep rising. * Trading keeps to the upper band. Bullish for the time being. * But with 400 points easy downside inside the Bands this is normally not a great entry point for new longs. * Of course, exceptions are there to prove the rule. But betting on the exception is rarely a great strategy.
* SwX stays yellow - neutral. The important point to watch here is whether it goes on to red or gets back to green. * MoM goes down, but is flattening out. * The 6200 level (blue line) remains the first support line to watch on pullbacks.
* Icebergs chart
* Here we see green mountain falling away very rapidly now. This market is not as strong as the index and the new intra-day highs seem to indicate. As long as that is the case I will be watching from the sidelines. Better safe than sorry.
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