Once again the action appears in the overnight session. Futures have broken out and will most likely lead to a cash S&P breakout above the all-important 1875.92 level cited previously. That will raise the odds of new all-time highs significantly.
Does this mean the market will continue to new all-time highs in a straight line? No.
To me, all it means is that the market has yet again ruled out an impulsive decline. It has not ruled out a further correction.
Today I'll be watching A/Ds, ticks, VIX, and the under performance of the banks (IYG) vs. SPY, JNK, and HYG over the past several sessions. So my plan may be to look for a correction while looking to buy the dips aggressively. This may include adding UVXY and SPY puts against my trimmed SPXL position.
The only thing I wouldn't want to see would be a sharp, impulsive correction below the 1820 area on high volume and bearish internals. I doubt it would occur, but the market will be the decider, not me.
Elsewhere, I find it very telling that the Facebook's COO has sold 58% of her shares since its IPO.