Friday, the market managed to recapture some of its weekly losses, but not enough to erase them. The C fund got hit hardest last week, down 1.2%. But the S fund was down less than half that at 0.54%. The fact that small caps outperformed, even when selling down, is bullish at its core.

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Price on the S&P 500 continued to dance along support on the 50 dma Friday, while the DWCPF rallied at bit to distance itself a bit further from its own 50 dma. It sure looks like a bull flag to me.

NAAIM is bullish, and you know what that means. TSP Talk went from bullish to neutral, but that dip in bullishness is actually bullish against the backdrop of a bullish NAAIM. The options are neutral. Breadth is bullish.

I said on Thursday that I thought we'd see a move back to the upside over the next few days and Friday's mixed trading could be a sign that we are getting close. I remain long C, S and I funds.