Market Pulse on May 28th

S&P 500 3029,73 -6,40.

Over the last two days, the S&P 500 managed to hold intraday above the 2950 area before closing twice above the psychological 3000 level. Yesterday’s rally was abruptly broken by the announcement of a press conference today on Hong Kong and China by Mr Trump. The last hour brought a flow of sell orders as measured by our buying/selling index. Overall, the stock market starts to be seriously overbought according to some of our indicators, measuring either breadth or the sentiment of various market participants. Fear has ceded the place to complacency or even some kind of heuphoria in the option market, time to be somehow catious.