A heavy dose of buy-volume Tuesday doesn’t change our outlook much.
As the S&P 500 tests its 50-day moving average we don’t want to lose sight of the fact that as long as action remains below the 200-day the market need to do more to convince us that it might be a bull.
We’re holding a Buyer’s Caution bias, which basically is a neutral stance for us that respects the market’s general leaning toward upward drift.
In order for us to upgrade to Buyer’s Edge, we need to see more dominant buying in conjunction with leading stocks hitting new highs.
In order for us to downgrade to Seller’s Edge we want to see that opposite.