Uneven Market Action - Posted by Coolhand

The bears tried to take price lower today, but they were not successful as price on both the S&P and DWCPF closed near the neutral line. I will say that other indexes fared better or worse depending on the index.

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Volume was not as impressive today, but it was still high. There does appear to be a battle raging with gaps and long wicks. And there may be rotation going on as well given how poorly technology fared today. While this market may have a bearish feel about it, price always has the last say and so far it's staying elevated (on the indexes we care about as far as TSP goes). Be that as it may, the S&P is also battling resistance. The DWCPF is faring better, but it hasn't really proved all that much to this point. Normally, I'd more concerned about the gaps, but this market can be very deceptive. I said yesterday that I had some angst about this market, but I also remind myself that NAAIM, while neutral, is not showing any inclination to short this market (as of last Thursday). So that tells me to be careful about the downside until more proof is offered.

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Breadth on the NYSE rose today and hit a fresh all-time high. Nothing bearish about that.

As I mentioned yesterday, this market is showing mixed signals depending on the index. I anticipate the market will continue to act in ways that may keep us guessing what is going on and where it is actually headed. So far, the rally has not been broken so much as stalled. It may be a peak and it may not.

I remain modestly bullish.