S&P 500 Near an All-Time Closing High? I Could Care Less

NEW YORK (TheStreet) -- The stock indexes once again finished higher in Wednesday trading on no volume. This is the third day in a row where the buying volume came in at less than 76 million shares on the S&P 500 Trust Series ETF (SPY) .

The reason is very simple, if traders understand the new Wall Street. The hedge funds and their programed machines are in total control. Old Wall Street ways of trading are history.

The DJIA gained 59.54 points to finish at 16979.13 while the S&P 500 came within 1.5 points of a new closing high, up 4.91 to close at 1986.51. The Nasdaq was lower by 1.03 to close at 4526.48 and the Russell 2000 was down 4.96 at 1157.51.

Read More: 7 Stocks Warren Buffett Is Selling in 2014

To be blunt, it is irrelevant if the S&P sets a new all-time closing high. These record highs are nothing but talking points the media focus on because people like to talk about it.

If the SPY and Nasdaq open to the upside tomorrow, they will be in extreme overbought territory according to my algorithm process. The DJIA will be close behind but not quite there. As I mentioned in Monday's article, the Russell 2000 would be extreme overbought on Tuesday. Indeed, the Russell 2000 was set up for a sell. Those same algorithm numbers are now attached to the SPY and Nasdaq. Traders should be looking to short this no volume market on a green open Thursday.

If you liked this article you might like

Market Is on the Straight and (Very) Narrow

Look Back to Go Forward

Stock Observations; Reviewing Equities: Doug Kass' Views

Even North Korea's Kim Jong Un Can't Stop This Epic S&P 500 Stock Rally

Robots Might Be Biggest Obstacle for Stock Market Bears