Featured Breadth Chart of the Day

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That 90’s scare is over, but we should be dropping like a rock here.  This delayed reaction should be a bit worrisome for us bears.


Quote of the Day:
The easiest thing to find is fault.
–Anonymous


Comments and Levels for the Front (S&P 500 – E-mini futures) contract:

Short: 1891
Long:  1862

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We expanded the upside from 1886 to 1891, that is the wrong direction for us.  We want failure and we want it big and we want it now.  Our bottom for today though is only at 1862.   If we all stomp hard enough there we might break lower to the 1852 region and work our way to a 3% correction.

On the MiM:

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The MiM did not meet my trigger criteria, but it did a reasonable job building up into the close as the markets were thin.  Buyers were forced to trade on the close although post reveal, the markets countered the imbalance.  It was light into the close.

If you have streaming issues, please let me know.  info@mrtopstep.com

Date Of Signal Direction x:00 Entry/Close x:20 Entry/Close x:30 Entry/Close
5/6/2014 Long 1.88 (xx:20)
5/8/2014 Long 3.11 (xx:40) 1.24 (xx:40)
5/9/2014 Long 2.72 2.50
5/13/2014 Long 0.26 0.20
5/16/2014 Short -2.22 -1.40 -2.11
Total 2.77 2.72 0.59

 

If you want to join the meter readers you can go to: Join the MiM


Comments about TLT (Twenty year Bond ETF):

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Bonds have no idea which way they want to go.

Follow me on Twitter  @redliontrader <<<<<


Breadth Charts in Full:   Zweig Breadth Thrust

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We want below 40.

 


Cumulative Volume Index:

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There’s a breakdown that would make the bears happy, but price is not biting.


Number of NYSE issues trading ABOVE their 40 day moving average (40DPI):

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Only 50% of the stocks on the NYSE are above their 40 day moving average now.


New Highs / New Lows ratio chart:

 

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Come on 10’s.

 


Trenders Short Term Trender –  McClellan Summation Index:

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Bearish.


Long Term Trender –  Cumulative 4-week Highs – Lows (the fat lady) :

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Neutral.


Parting Shot: 

Free show last night as we were out on the deck watching a beautiful sunset.  We face almost directly east and are blessed with a sunrise (which now is like 5am!), but for sunsets, we get what I market to friends, family and guests as a “Reverse Sunset”.  The water takes on that setting glow and the houses on the point light up.  I like it better than staring at a hot yellow circle.  It brings me out of the house on days like this.

Last night as the magic was happening, a very small area out over the ocean started to sprinkle. I snapped a picture of this little stubby rainbow way out on the horizon. As we waited and watched, it grew both in size and intensity.

The result was a full on double rainbow.  What does it mean?  Life is good.

As always, we want your feedback!  marlin@redliontrader.com

Thank you for Reading – Marlin aka RedlionTrader @redliontrader

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