
Once again, sentiment for the stock market (SPX) generated from the Twitter stream is holding the uptrend line that was first established in February of this year. Although the market is bouncing around quite a bit in the few hours after the fed statement, the general consensus in Tweets is that the market is going to move higher and that SPX will probably break 1700 within the next week or so. HT…Helene Meisler @hmeisler who took a survey with her followers today. If a move above 1700 occurs I suspect that we’ll see a lot of chasing and short covering. Due to the strong readings we got in sentiment starting near the first of July there is a good chance that any rally will bring with it a negative divergence (from smoothed sentiment). That will be our first warning that the market might be ready for a pause. But as of now market participants are resigning themselves to higher prices so the rally will most likely continue.