The 3 things that we are watching for going forward are:
- The Recovery of the 10 day MA.
- Right Translation.
- Resuming the intermediate cycle advance.
- Recovery of the 10 day MA. Stocks recovered the 10 day MA on Wednesday and started to turn the 10 DMA higher on Thursday.
- Right translation — In progress. Stocks still need to break above the day 15 high of 4393.68 to assure us of a right translated daily cycle formation.
- Resuming the intermediate cycle advance. In progress. RSI bullishly crossed the 50 line. Once RSI 05 becomes embedded again in overbought, that will signal the resumption of the intermediate cycle advance.