US Stock Takes: Cautious Buy

After Wednesday's impressive rally, my quantitative model has turned to a buy signal. Overall sentiment remains fragile but after a five wave correction from October top, the counter rally is overdue.

I expect this rally to retrace back at least 50% of the losses from mid October. Using S & P as guide, this rally may have headwinds from 1500 to 1540 and at this area, will watch my quant model for any turning signals again.

Till then, enjoy this rally underpin by Fed put once  again.