As mentioned in the New 52 week high post, the NYSE was the cause of weakness today.  We will watch in the live trading room in the first 30 minutes  at the open to get a feel for how the breadth is performing.  You can see it in our live A/D line indicators as well as the market thrust indicator.

If we confirm during the day that the NYSE is going to turn to bullish long and the RUT and the NADQ maintain their long sentiment then I will be scalping on the long side.  If these don't set up I will be setting myself up to short in a 10 day window from here.

See you all tomorrow in the room.

.. the NYSE was weak today, especially when compared to its stellar performance a week ago. That now makes two days in a row that the NYSE was not able to turn the bullish corner.  In the past month of chop the NYSE has been the leading signal to which the others caught up. So either that cycle has been broken today or the NYSE weakness is signaling the top is in place and we are getting ready for a pullback in here.

The number of new highs closed today on the NYSE was 292.  In order to move our 5 DMA momentum indicator for the NYSE long bullish column we will have to establish a pace our around 100 at the initial 30 minute open.  That is only 1/2 of what we needed today.  So a weaker opening than today is still possible to keep the momentum moving upward.   A great opening and we will be on board for another thrust up to new highs.

The opening tomorrow should be a good hint at what the day has to unfold.

.. the NYSE.  You will see the NYSE show up weak in both this chart and the 52 week new highs.  It is this lagging that kept today's  movement from being extremely bullish.  The NYSE bars put in nice recovery over the last three days but the strength did not match the strength of 5 days ago on the NYSE and therefore that index gets a neutral score while the RUT and NDAQ each get a +2 score.

We need to see some follow through there otherwise we are just still chopping around in this consolidation zone.

Again we have turned from neutral to very bullish.  All three indices are moving to new highs and remain above their 20 DMA.  The RUT has caught up with the NYSE in sentiment showing a 68% of stocks trading above their 40 DMA.  The NASDAQ composite is lagging behind, perhaps a push tomorrow will drive it upwards.