The iBCM™ is BULLISH. Today’s BUY Strength™ reading was 4x stronger than the Daily Sell Strength™ but on a weak reading. My Overbought / Oversold Oscillator™ is still slightly OVERBOUGHT, but trending lower towards neutral.

Sentiment Indicator: Bullish

The Daily Buy Strengthâ„¢ today was surprisingly weak considering the show in the markets today. I guess this makes sense since the bulk of the gains wore off after noon, but the weak reading in a generally strong tape makes me cautious on having a bullish expectation going into tomorrow’s trading, and especially because it’s OpEx.

However, it is just common sense that tells me this and doesn’t preclude more “crazy meatloaf” gains tomorrow.  One thing is for sure though — it indicates a tired rally.

Ultimately, all we know with certainty is that this is a counter-trend rally, and it is stupid to guess when it will end.  There will be plenty clear indications, like a break below the trendline for one. I have been trading off these lines religiously lately.  You could almost say they’ve shined the light of Christ’s benevolent glory via lantern all over my options portfolio.  [That was the last lantern reference, I swear].

I say, if the trend line holds, we grind higher towards 1365, or the 200-day MA.  This will fit in line my other analysis that suggested the rally would last 4-6 weeks from the bottom before topping out.

Also, don’t forget about these important indicators:

S&P Above 20-day MA (1273): True

S&P Above 50-day MA (1290): True

S&P Below 20-day MA 2:3 bars: False, cautious if true.

VIX Above 20-day MA 2:3 bars: False, signals a short if true.