The stock market reached again records last week but the cumulative advanced/decline line on the NYSE did not, a slight divergence that has to be watched closely. Our risk model deteriorated slightly as options traders were again eager to play the upside by buying calls and the weekly investment surveys among private and professional market participants pointed out to a more positive attitude, withoud reaching an extreme in terms of greediness.

After having traded sideways during the coronavirus outbreak in February, prices have started to recover and systematic models are on the verge to flah a buying signal which would be confirmed by a decisive break of Usd 18.--