Daily update 8/5

All aboard.  That is what this market looks like to me.  I believe everybody is in that wants in.  I have already mentioned the negative breadth indicators.  In addition to that there is another sign of weakness.  The last four days (including the big gap up thrust to new highs) have seen more the 50 new lows.  Today we actually had 109.  That should not happen with SPX at all time highs.  Here is the daily chart.

The dip buyers were out this morning.  SPX tested yesterday's high but found no rally chasers up there.  I am not surprised by that, LOL.  This is one very tired market.  In fact, this is the weakest the market has been at the highs in this entire bull market.  With negative breadth indicators and elevated new lows it is pretty hard for me to imagine this market flying higher.  This still looks like a retest of the May high that is doomed to failure.  I guess we will see.  A close below 1700 would be a warning sign. 

Chart practice has been updated with POT the stock tonight.
http://traderbob58-chart-practice.blogspot.com/

Bob