Precarious Strength....08.04.16

Another iffy day as SPY and the other indices hang in a narrow range channel.  Keeping in mind that August is historically weak and September even worse traders appear to be hedging the odds that new highs (SPY at 225) are anywhere on the horizon until the typical Fall run up.
Here's two new charts courtesy of State Street supporting the idea that this is a risky market environment and that flows to cash are accelerating. Following the herd can sometimes have a bad end but current doublespeak from the FED and general global market weakness argue for a conservative risk program for the near term.