Intermediate outlook remains bullish.
Short term technicals currently suggest a brief 4-6 week correction by broadly based U.S. equity indices that could result in a 4%-10% downside move. A correction by the S&P 500 Index to the 1,200 is possible.
The recent divergence between the Dow Industrials and the Dow Transports during the past three weeks suggests that recent strength in the Dow Industrials likely is not sustainable.
The short term correction will provide a buying opportunity.