Looking at the overall Sentiment picture we should expect the Rally to last some weeks (months) which also seems in line with the extreme excesses we observe with the DXY (Dollar Index) and the Bonds. What seems unclear at this stage is whether we need another retest of the LOW or another downside exhaustion a.k.a. capitulation. Mid June still looks like a good date for a re-test of the LOW.
Key for a more medium-term rally has to be a recapturing of the positive zone of our VixOSC ('THE HORSE'). An upside break followed by a re-test could cement the bull for more upside. The opposite is true as well, where we see a unconvincing upside break and a failed retest that would set us up for some brear action into the fall.
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