Weekly SPDR S&P Retail (ETF) From a technical perspective its riding bareback on Halley's Comet, with the Sun in the rear-view mirror, on it's way to the aphelion position. Being overbought does not mean it can't go higher but I will be watching (through the Hubble Telescope) for weakness that would suggest a move down to 36.50 (perhaps down to 35). Shorts would want to protect against 42.50/43 which would come in the event of a total capitulation on the upside (which seems highly probable). The real question is whether or not the DXY stays under 80.36 on a closing basis. If so we'll likely see a mini-reflation trade that squeezes the indexes higher with commodity stocks if (There isn't much left to squeeze in the REITS and Retail). I suspect the DXY will ultimately come back to 78.60-79.00 as it recently put in a swing-high at 81.25.
