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(5/31/14)
NYSE Margin Debt has now decreased for two months in a row after
peaking in February just below 500 Billion Dollars. The last two
times Margin debt exceeded 350 Billion Dollars and then fell two months in a row
was back in September of 2007 and May of 2000. Both of these events were
followed by major tops. So the question is will a repeat of the last
two events occur? 
Meanwhile the S&P 500 on a log scale has been holding
support along a key upward trend line from the Fall 2011 low. 
Finally zooming in closer using a daily timeframe shows a
wedge type pattern may be developing. However it appears there are two
waves missing. If that's the case then a pullback would occur next week
(d) with support along the lower trend line followed by one more high (e). 
Amateur Investors
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