Overall activity was once again BULLISH .. Flow got a bit messy late morning with players adjusting profitable positions & underwater protection into the gap up to new highs .. Not much out there as far as aggressive buying in new names or setups. A good chunk of Wednesday’s action was tack-on in repeat names & earnings related stuff .. With all but certainty of a rate cut coming from the Fed, now eyeballs will focus in on earnings. The reaction to disappointments or warnings will be interesting & something we want to definitely pay attention to .. SENTIMENT finished today’s session with players feeling a bit more bullish about things, as we would expect off today’s rally.. None of our short-term indicators are flashing any major caution yet .. Equity P/C a bit hot with a 5-handle, but as mentioned in the past, completely normal with a market rally to new highs .. It can easily get worked out, even off some intraday selling sometimes can do the trick.. If it remains down at these levels, then that can become an issue.. but we’ll likely have all our other key indicators flashing caution around it.. HEDGEFUNDS have started to finally get aggressive chasing highs here .. And while their buying may lead to more upside over the short-term, ultimately it’s a debacle! No other way to really look at it.. So as we’ve discussed in the past, at some point soon, we’re going to need these chasing bulls to get kicked in the teeth if we want this bullish trend to continue.. Our short term indicators still have some room for further upside if they want to push from here but when they get cooked, we will need to see a breather at the least.. Because as many of you know, if we storm higher through bullish extreme + HEDGEFUNDS stampeding into equities, things could really end up a big mess.. Let’s take things one step at a time here .. see what sweepers look like & how Sentiment shakes out into next week.