Hi Mike,

Doesn't the break on 6/21 also triggered S9 signal with the break below 50D ? Also, is there any statistics that speak to distribution days within a certain days of an FTD and its implication to rally success ? The current action is somewhat similar to 12/20/11 FTD where we had S1 distribution signal the next day 12/21 but it turned out to be a good bull run so my guess is as long as the DD are not back to back, the rally case is still on.

Also, does the behavior of leading stocks override some of the exposure decisions in this model ? We seem to have good money rotation into fresh leading issues such as ALXN, PCYC, TRIP, FB. A lot of the old leaders seem almost ready to move again now with decent base in place AAPL, AMZN, LNKD, KORS, MA, PCLN, CMG, ULTA. Overall a mix bag but the breakdown on the early leaders from 6/5 bottom are showing concerning signs: LQDT, BBBY, UA, MNST, REGN, SXCI, CERN, MLNX, EQIX.

Thanks-
Ken