The minor control migrated to 4570 last week. Value Areas since then have been generated entirely above that level, an indication of strength. 4570 is First Level Support. A RTH close below 4560, the low of Friday’s Buying Day, would be a first indication of weakness.
Sentiment: my version of the Rydex Assets Ratio was lower at 33.8, down from last Thursday’s extreme at 48.48, the highest ratio ever. This is a contrarian indicator. The next technical indication of weakness (which may come from a higher level) will probably lead to a larger decline than the market will be expecting.
