Update November 20th, 2009

7:10pm

The SG for the $SPX had a slight uptick today. It went from -30 to -27. Yesterday momentum slowed in the B Indicator. Today momentum in the B Indicator stalled. Only a substantial rally on Monday will prevent the B Indicator from reversing. The same thing is happening with the SG for the $COMPQ.

Therefore, the current status for the SG’s for the $SPX and the $COMPQ remains:

Entering transitional phase.

I will have more a little later or over the weekend, but without some kind of major rally in the first couple of days next week, then I still expect the market to continue to roll and maybe take out the lows from November 2nd. I may have to eat those words because the market can go back up on the same kind of breadth that it went up on in the first place. Time will tell.

According to the $NAA50R, only 35% of Nasdaq stocks are above their 50MA’s. That’s not the kind of internal strength you expect to see near market tops. Of course, I could have this all wrong. Maybe the market is actually bottoming right here. I don’t buy it, but you never know.

I did pick up some TZA today. Small position just in case I’m completely wrong.