Continue to watch and wait.

There are no short-term opportunities in either direction.

Intermediate and long-term bulls should maintain existing positions.

There are no intermediate or long term opportunities to the downside.

Intra-day: Neutral.

Short Term: Neutral

Intermediate Term: Down.

Long Term:  Neutral

The stock market, as measured by the Wyckoff Wave, traded lower on slightly decreased volume. It closed near the bottom of a wider price spread, in a neutral condition relative to the Technometer. The price spread and volume suggest a lack of demand.

A review of the intra-day waves confirms the above. After a gap opening to the downside, moderate supply remained and the Wyckoff Wave reacted to point V.

There, supply dried up and the Wyckoff Wave made a brief attempt to rally. That attempt failed and the Wyckoff Wave reacted for the rest of the trading day. During the time following point V, supply, while present, was reduced.

The Wyckoff Wave is now testing yesterday’s low at point P. It is also testing the resistance, now support levels, found at points B and Z. The failure of demand to come into the market, as this testing period begins his a bearish indication. This and the fact that some supply is still present, suggests both these tests will fail and the Wyckoff Wave will continue to react.

The Optimism – Pessimism Index reacted. It remains in an overbought position relative to its upward trend channel. It continues in its negative divergence with the Wyckoff Wave when compared with points D, B, Z and X.

The Force Index reacted and is producing moderately negative readings.

Tomorrow, the Technometer will open in a neutral condition.

Today, the Wyckoff Wave began to react and is, once again, testing the top of the mini trading range, marked by the line drawn from point L. The inability of demand to return, as the testing period begins, suggests there is a good probability the Wyckoff Wave will continue to react and return to the mini trading range.

While the Technometer has returned to a neutral condition, the scenario is supported by the negative O – P Index divergences and a receding Force Index.