"But now I am raising some caution flags again because there was enough bearish action today."

"This is somewhat like 9/28-30 in reverse (which means potentially bearish, maybe significantly so)."

"The reasons I have for concern are: QQQ exact tag of Q4R1 and clear rejection, DIA Q4R1 exact tag and clear rejection, and NYA (key institutional index) failing to rally above its YP on 12/1 which would have really helped to confirm the bull case (alas). From the way I count, this means 3 of 5 main USA indexes had bearish pivot action today, and that can be enough to start a drop that matters."

"BUT (this means big but), ES and SPX are holding the level with Q4R1s at 2077 and 2079 respectively. If that breaks, then the DecPs at 2062 and 2072 respectively are the dividing line."

All of the above in quotes because they are comments from yesterday's post on 12/2! This is just one of the few days I have raised caution flags since the end of September low. In fact, 10/13-14 resolved bullish, then 11/9 hedge was worth it with the lift bang on schedule on the November pivots, and being prepared to reduce longs on 12/2 with any further weakness today 12/3 was quite correct!

A Pivotal Portfolio would have been locking in gains from the 9/30-10/5 buys today by raising cash or adding hedges in whatever way is appropriate for the account.

The levels to watch from here on SPY & ES are first the 2HP at 205.83 and 2039 respectively, then the DecP above which is now resistance, and the DecS1 which should be some support if lower Friday.

ps: QQQ / NQ / NDX has saved the market at every point of weakness since August (yes, really). But even all these broke DecPs today, so the first sign of strength would be for these to recover. Respectively: 112.99 / 4617 / 4629.