MCO update 6/8/12 - A reversal in the making.

After a rather nasty string of declining days the MCO and SUM Index appear to have reversed indicating that a new rally may be underway. I don't discount the chance of another pullback over the next several days but unless the 10% Index breaks down below -500 again, it should be just viewed as a retest.



The SPX divergences with the MCO
Click to enlarge