Brainstorming wednesday - part 1

1. The upside correction for stocks should develope in an ABC wave character and we are about to finish wave A in the 1100/05 area and wave B should bring us back to the 1075/80 level before resuming to the 1120/30 area to finish the upside leg. Some indices will likely make even new highs as the Comp compared to the NDX and as pointed out earlier even the VIX will retest the lows and make a new one marginally lower in the 15/16 area.

2. Some sentiment indicators confirm the basically more upside momentum as the Rydex is still at extreme lows and Invest. Intel has turned neutral from bullish.

excerpt

Investors Intelligence

Date Published	Percent Bullish	Percent Bearish
02/17	35.6	27.8
02/10	34.1	26.1
02/03	38.9	22.2
01/27	40	23.3
01/20	52.2	18.9
01/13	53.4	15.9
01/06	48.3	16.9
12/30	51.1	15.6
12/23	52.2	16.7
12/16	52.2	16.7
12/09	48.4	16.5
12/02	50	16.7
11/25	50.6	17.6
11/18	46.1	21.3
11/11	44.4	26.7
11/04	48.3	24.7
10/28	48.3	22.5
10/21	49.5	23.1
10/14	47.2	26.4
10/07	48.9	24.4