Current SPX Position: None. Last long trade exited 1551-->1584.
Next Action: Go long at 1592.65 with stop a few pts below 4hr support
System Score: 7=Bullish=Trend Score + Turn Score=10-3
Proposed New Score: 64%=Bullish=Trend Score + Turn Score=48+16
The System remains flat without a position. The Score is now only slightly bullish and could turn neutral-to-bearish on even the smallest rally/consolidation Monday morning. That would set up a potential short trade at 1578 or higher. In recent months, SPX tends to rally out of trouble 4 out of 5 times that a short technical setup occurs. It could happen again, but the 4 SOS days thus far this week and the long-in-the-tooth rally should limit upside at a minimum. Discretionary spending has steadily dropped this month back near 1-year lows seen in late-2012/early-2013 with a projected May/June SPX top pending. GDP, earnings and jobs seem to be largely disappointing with the viability and timing of central bank backstops being questioned more and more daily. That combined with a 120%+ rally in 4 years, typical 4yr cycle behavior, other larger cycles, my old dRSI analyses, falling income, increasing taxes, no meaningful room for lower rates or higher QE, upcoming ObamaCare that Congress is trying to exempt itself from and negative divergences across all time frames should give one reason to pause about investing long-term even if Europe, Japan and China manage to muddle through their bubbles and troubles. I changed my 401K this year (and probably next year too) to stay in cash-equivalents so I make 1-2% plus the company match. Good enough for me. My trading account is much smaller and I use the System for that. Good fortune.
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