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[arbman]

This is a simple breadth based indicator measuring the extremes for tops and bottoms and the trending in between. Currently, the market had the most intense rally up on the lowest volume of the year, or blew off, but technically, it is still trending up. I think we would expect one more high from this setup at least, however the reversal out of this setup is likely to be a genuine sell setup as the degree of the up trending indicator is just too much to sustain it. I think when the volume returns, the reversal will be very sharp. My statistical scans (not shown here) are still on track for a reversal from later next week. If we get a bit volume early next week, SPX can trade lower and the next high should barely touch 1850. I am mostly reacting and thinking about a top because of the relative intensity of the signals and how difficult it is getting every time to sustain an up trend in these setups...