The ultra short term counter trend rally seems to be right on time as the market moved modestly higher today on once again diminished activity.
The movement today may have taken care of 2 out of the possible three legs of the move higher.
Therefore I will be looking for one more push higher somewhere in the area of 1336 to 1341.
From these levels I anticipate the final leg of the corrective phase and a return to the rally phase that quite possible could test the old S&P 500 highs in the Mid to Upper 1500's.
Currently I remain with a very cautious 60% allocation to equities and will begin to increase that exposure upwards should the market follow a general outline of health.
I did get a 3 Day Cycle Buy Signal today, but being this far into the cycle simply does not justify the risk when measured against the reward. This account remains flat and awaits the next Sell Signal which could come as soon as Tuesday.