Although the market has appeared primed for a pullback for several days, this is not an environment that is easy to short.

Three of the five market indexes that Deron Wagner follows are showing clear hesitation patterns, suggesting that the market may be looking to pull back.

Although the major indices closed well off session lows Friday, the broad market appears to be losing some of its steam.

A day or two of modest selling would actually be good for the market, as some momentum indicators are beginning to suggest the market may be overbought in the near term.

Stocks surged higher and closed near session highs on Wednesday. Based upon the close, it appears as if the market should see upside follow-through today.

A modest pullback in the market could provide buying opportunities in some of the stronger sectors such as pharmaceuticals and biotechs.

Buyers have continued to hold up the bid on virtually every pullback recently, new leadership stocks continue to emerge, and Deron Wagner's bullish conviction remains intact.

The market continues to flash bullish signals and appears to be headed higher.

All of the major indices are at, or close to, major resistance levels and a pullback from the current levels is a distinct possibility.

Deron Wagner wouldn't be surprised to see a modest pullback on Wednesday. If the market is strong, he expects continued buying on any pullbacks.