As we’ve stated in previous posts, the decline from September to November this year did a lot of internal damage to the markets.  We’ve started seeing some of that damage undone in the percent of stocks above their 200 day moving average and also the bullish percent index.  Basically we’re in wait and see mode where it’s time for the market internals to either put up or shut up. We’re neutral on the market with our core market health indicators showing a slight negative bias, but price moving higher which could give us a modestly positive outlook on further strength (ex risk due to our market risk indicator). One thing we’re looking at for confirmation of the recent rally is the new highs on the New York Stock Exchange (NYA). As NYA came out of the November lows there were encouraging signs as the number of new highs rose with price.  They were behaving as we would expect until the last part of November. Over the past two and a

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