Yesterday I laid out four items that I would be watching regarding the cash SP500 data.
1) If Monday's close below the long average can be confirmed on Tuesday. It was not confirmed and would indicate a bounce towards overhead resistance (medium and short moving averages).
2) whether we continue to hold TDST support, So far we have but the bulls need to see price move away from it!
3) whether the RSI (top pane) can hold the bull market support level, So far we have, but like with TDST support, we remain (if you are bullish) uncomfortably close.
4) whether a bullish divergence forms between the RSI and Composite. This did not happen and must be considered a disappointment for the short term bullish case.
Overall, yesterday's session can only be said to be mildly encouraging for the bulls. TDST needs to hold here.
Bottom Line: The allocation mix meter remains at +100%. I am still expecting to see new highs before the April low is violated.
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