SPX bounced today as global markets were mixed. Breadth was +59%. New highs increased a bit to 76. New lows were stable at 47. Hard to say if this was a one day bounce within a multi day pullback or if the pullback is over.
The futures had fun with the 20 SMA today. They rallied above that line this morning and stayed there for quite some time. An afternoon swoon took them back below the line. At the close they had bounced back right to the 20. After the 4 PM close they rallied a couple more points and are above it as I write this. Whether they will still be there in the morning I cannot say.
The green count slipped some more, but is still above the red line.
We ended the day right at the make or break area of whether SPX moves up to test the recent high or continues its pullback. Tomorrow should determine that, but I have no idea what that will be. We have the employment report which may be why the market could not decide today. A successful break out above today's high should set up the test of the high. Any downside tomorrow should indicate the pullback is continuing.
I still have no idea what is going on with global de-risking. It took a break today as Europe was up and Asia was mixed. Whether it is over or not I cannot say. That might have more to do with what happens here then the employment report should the selling start up again overnight.
Bob
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