I am not a fan of the smart money debate given the performance of active portfolio managers versus the indices, dartboards, and monkeys for that matter. However, for the past few weeks, buy programs from institutions have been there at the end of day to buy into weakness. Believers in the smart money theory were encouraged and it has gone a long way to extend this rally. But smarter money sells too and I’ll be watching for signs that programmed buy trades stop working or start switching to programmed sells. Until then I am just going to assume the institutions are still bullish and putting all their cash to work on the long side.