The Naz is not opposite, with a positive tic, you should expect a trin under 1.00 and that is where it is. I believe that the Dow is held artificially high, and anytime could collapse hard, bringing with it other markets. I must admit that I did not expect the afternoon rally to go much beyond 2:30 (thus my chickening out there), but there is no divergence in the Naz warning me that what I see and what is really happening might differ. The Naz has a real rally going on from an oversold position and mild support at 2100, it should not go much above 2180, IMHO, but, as you know, I have been wrong before. An interesting development is also the fact that finally the equity P/C ratio got very c;lose to 1, if that continues for few days, and the P/C ratio for indices is not lopsided, the 1078 Larry is "bitching" about, might indeed hold. I still think that today is just a minor counter trend (the main trend being down) rally and should be used to take profits when these are available.
Zeev |
