Tradewise, we maintain our stance of bullish against 875. Mar 25th is an important short term cycle low date, both seasonality wise and cycle wise. So we expect a strong push from may 25th onwards from wherever that may be. Ideally we would like for 875 to hold until then.
Sentiment wise,
1) The Investor intelligence survey is still looks cautious to us.
2) consumer sentiment still looks compressed to us.
3) In our scans of chat forums and message boards, there are still bears who just won't give up. Maybe they are right. While it is impossible and foolhardy to pick tops, in our opinion the sentiment is still somewhat negative out there. Bordering on cynicism, we should add - which is just the condition required for the rally to sustain.
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