The market is no longer overbought, and it looks like buying was taking place as the SP500 approached the 900 level.
The SP500 is not overbought while around a 920 support level.
Then there is the VIX, which acted accordingly and retreated from the 50 SMA.
The VIX is approaching oversold territory, however the possibility for it breaking down looks real. A review of the VIX action from 1999 to 2003 indicates the VIX low to be around 20. I think it is very reasonable to expect this from the VIX, as stability continues in the financial markets.
To me, this means to be a buyer, and that is exactly what I was/am doing. (as indicated through my previous post)
Make no mistake, the SP500 may very well test the 62SMA. But if it does, I will utilize the majority of my cash to purchase stocks
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