We’ve had another week where the Nasdaq 100 (QQQ) was volatile and suffered a bit of damage, but sentiment for the S&P 500 Index (SPY) is still holding up. As long as 7 day momentum stays above it’s current trend line the market should continue to advance.

A lot of people are looking up to 2500 as the next target for SPX. Of course, they’re all waiting to see if 2400 holds too.

Breadth is showing improvement mainly due to a decrease in the bearish count.

Conclusion

Everyone is waiting to see if 2400 on SPX hold. However, they’re waiting with optimism that volatility in NDX won’t spill over into SPX.