Smart Money Remains Bullish - Posted by Coolhand

Thursday's trading saw small caps snap back from Wednesday losses to post solid gains. They didn't quite erase all of the losses, but they did get most of it back. The S&P 500 struggled all day and ended the session near the neutral line.

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Both charts remain bullish. Upside momentum has fallen off, but price remains not far off its peak.

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Cumulative breadth continues to impress and remains bullish.

NAAIM came in solidly bullish for the 5th week in a row. Remember, this is smart money. When they are leaning hard in a given direction you don't want to go the other way (generally). I find this group of money managers to be very consistent overall in their weekly positioning (high accuracy).

So, now that NAAIM has given us a fresh (bullish) reading, I can confidently remain bullish.