The closest resistance level is the 200MA.
The Yield analysis tends to support the non-directional move here as the price is now back rather close to its overvaluation level. This would be reached if the price falls back down to $3880 or if the 10Y rate pulls back to 3.7%
On the bullish side of the story, we can see that the Futures show accumulation.
The Cumulative Tick however tells us that in reality investors are in a wait-and-see situation.
The largest caps still seem to be in general attracting more money than the smaller section of the S&P500, but
I believe that this is due to the fact that XLK - which hosts many large caps - has experienced a short squeeze.
XLI/XLF for example display rather negative money flow patterns, while
growth sectors such as ARKK/IPO did not experience a follow-through after the initial shorts covering push.
Conclusions:
Market is non-directional here and we should not expect announcements in the coming days as Thanksgiving will put a lid on activities.
Have a great holidays!!
I'll be back next week.
