SPY

February has been an amazing month for the market, especially the SPDRs (SPY). The S&P 500 ETF is working on its fourteenth straight positive day and twentieth in the last 22 sessions.

Scanning back the entire life of the SPY contract, I can't find another string of positive action that even comes close. There have been some tremendous five to 10 day rallies, but all of them are usually interrupted, if only briefly, with a high-volume down day. The last time the SPY had a high-volume downside day was back on Feb. 4. There have been two other negative days with above-average volume since then, but the bulk of the action on those days was late-session buying that lifted the index back to a minimum loss.

Factor out those reversal days, and this index hasn't really suffered a meaningful one-day loss in over six weeks. Add to this overdone rally a new 2010 low in the VIX, which is now trading below 17.00. Obviously, the terms "overbought" and "overhead" come to mind again, but, as in the past six weeks, will it matter?

I am still very bullish, especially in the late-blooming Semiconductor HOLDRs (SMH), but this low-volume run has me worried.