The market is moving up but there seems to be a lack of people pushing behind it. The people pushing are getting tired and maybe dropping out. Here is an hourly chart with breadth indicators on it.
Notice the steady decline of advancers and up volume. This could be a pullback, but it is showing some divergence. The market was coming near its highs again and it's lacking the breadth. Also notice the 5 day EMA of tick is not showing strength during this last move up.
Look at NYAD, it has been on a steady downtrend since SPX's highs, making lower highs and higher lows.
This could just be part of SPX's consolidation before another move up. But if I was a bull I would want more participation to the upside. Breadth was weak and even volume was weak. Yesterday was a very volume day, indicated by NYTV.
On SPX I am still watching broadening top formation, there the larger one forming from May, but a smaller on forming from late July to now.
The market is definitely consolidating right now, this chop has worked off some overbought conditions but the market remains extended. The lack of strong breadth is something to take note of, but until 992 or 1020 can be broken the market remains in a tight and tradeable range.
