Dow remains at the crossroads of pleasure and pain. Resistance continues to hold as of now.

SPX bulled through resistance, made some “all-time highs!” headlines in the media and reversed. The top-test is well intact with no bull breakout signal.

NDX broke upward in-day, messed up my QQQ short (actually, I messed it up, not the Cube) and reversed back down. Still looking suspect but the channel is intact.

SOX broke the trend line yesterday, got me to cover a leveraged short and today is back below the line. No problem. As noted in the Trade Log I re-shorted yesterday, but went unleveraged (short SMH), which is better for my mental health.

Bottom Line

The favored view of top-test and failure is still intact.

But we can be open minded to a revision if the market breaks and holds certain upside parameters, which are close at hand. The reversal from yesterday’s bullishness seems a bit cautionary.