Small Changes Don't Make Headlines But Breakouts Maintained

Today's action was quietly bullish. The fact none of the indices lost significant ground after pushing breakouts is of greater significance - suggesting few traders are willing to sell. As we approach end-of-year we have the Santa rally to look forward too. In reality, if sellers do make an appearance then we will want to see breakout support hold on a test (should a test occur).

The Nasdaq is making up lost ground against the Russell 2000 as other supporting technicals remain net positive. The September high has been breached, neutralizing the outlook for a major top then, but with the index now riding 18.2% above its 200-day MA we now have to consider a new major top count; currently, we are in the 90% historic range of overbought action. 

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Russell 2000 sees some selling

There wasn't too much damage done to the gains made on Friday's junior trader watch. Volume was up significantly across indices to register today as a distribution day, but the relative price loss was small.  Only action in the Russell 2000 left a mark on the chart.

Even with the selling in the Russell 2000, it remained well above breakout support and held a significant performance advantage relative to the S&P and Nasdaq. Technicals remain favorable with no major bearish divergences to be concerned with. 

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Nasdaq and S&P make key gains

Important day for the indices with the S&P again pushing into the spike high of the Bearish inverse hammer. Volume climbed to register an accumulation day as buyers found some footing on the back of bullish net technicals.

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Russell 2000 Holds Gains

There wasn't a whole lot of change to the week for indices but it was good to see the Russell 2000 hang on the gains generated by Monday's gap higher. Better still, it looks to have killed the bearish implications of the previous week's bearish black candlestick. All we need now is some follow through higher, helped by some strong technical support - including excellent relative performance.

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