The markets closed early today as we head into the Fourth of July holiday in the U.S. Equity markets often rally into holidays, and today was no exception. Both the DOW and S&P 500 made new all-time highs, but the NASDAQ closed at 8,170, just a tad short of its all-time high of 8,176. We therefore still have a bearish divergence signal until that high is breached. A breach is certainly possible, but we'll have to wait until Friday to see if it happens as markets are closed tomorrow. These markets are looking very overbought and "toppy" right now, but our next reversal zone for equities doesn't start until next week (July 10 -17). We could see this market edge higher into next week before a top can form. (If it starts falling from here, however, we might see a sub-cycle bottom in this reversal zone instead of a top.) I am going to hold my short position in the broad stock market until Friday, or maybe even next Monday (after holiday optimism subsides) before deciding whether or not to cover this trade.