Yesterday, I complained that the Rydex traders were not yet bullish and lo and behold they became bullish. Rydex traders still have minimal short positions on and have now upped their longs. Rydex traders have become extremely bullish.
While not every case of extreme bullish sentiment at Rydex has led to a top, Rydex traders were extremely bullish at every top. Another indicator has fallen into place for a correction and the bulls job will be that much tougher. While options expiration has been extremely bullish for the market, I expect that a correction will begin by next week.