SPX has paused under its high test for the last few days. So far this move looks like pause not rejection. I find it hard to believe that the longest bull market of all time* will go out with a whimper of a high test.

NDX tested its QR1 and fell back, showing that pro sellers are trimming their tech exposure on the rallies.

RUT continues to hold above YR2. the only main index to do so.

Yesterday, VIX was fractionally below its YP so I thought the bulls had the benefit of the doubt. Today it returned fractionally above, but without the look of support. TLT has been stronger, but looks ready to drop.

In sum it is a late August lull. Sentiment per put-call and other measures is nowhere near euphoric. It would not take much for SPX to push through to convincing new highs. I think this will happen soon, but maybe not tomorrow.

*Not sure this is right - definitions of timing vary. Discussion for another day.

SPX, NDX and RUT below.