Well, the uptrend hasn’t broken yet in the DOW, S&P… but the overbought condition is almost ridiculous.
Today, Dan Norcini offers a very interesting comparison of the Euro/Yen cross to the S&P with the rise in the U.S Equity markets on the same path as the cross as per the charts provided: http://www.traderdannorcini.blogspot.ca/
Depending on who is being interviewed on BNN or CNN it’ a dog’s breakfast.
“The WSJ reported that small investors are getting back into the stock market, one of the reasons why the Dow is pushing toward an all-time high. The article noted that data from Lipper showed a total of $6.8B shifted into US stock mutual funds in the first three weeks of January, the biggest move since 2001. However, the article pointed out that some analysts believe a bigger move into stocks isn't likely until the Fed lets interest rates rise. The so-called "great rotation" out of bonds and into stocks has gathered a lot of attention lately as equity funds see increased inflows.”