TRADING DP

[TREND1]

11/28/16


Ultra-Short-Term Indicators: No climactic readings, but I do note that we have a negative reading on the CVI for the first time in weeks. Additionally, the VIX has topped and also suggests a decline.



Conclusion: It appears as if the market is finally ready to pull back to support at previous all-time highs for the SPY. Given price's rise above all-time highs and the flurry of positive news items, I am concerned this short-term decline could turn into a bull trap, with prices refusing to retrace back to last week's top. Intermediate-term indicators favor a retracement and continuation of this bullish move after a pull back to at least 218, possible 211 or 215 where declining tops and horizontal trendline support still lie.