Today was a handy solid for bulls as buyers kept things on the move after some light downward action. It's summer trading, but as long as the trend is higher it's all good. Technicals for all lead indices are net bullish.

While I have no direct evidence of this, it always seems holidays deliver junior trader "feel good" gains, and this July 4th feels like no exception. Indices enjoyed gaps higher without making big gains, enough to keep things under the radar and allow senior traders to enjoy their break in the Hamptons. The Russell 2000 ($IWM) is net bullish with a relative performance gain of Small Caps over Tech Indices. There was no net accumulation in volume - not surprising given the holiday - but things are nicely set up for next week.

There wasn't a whole lot of action in the markets aside from the Russell 2000 ($IWM) which pushed further away from its 200-day MA on higher volume accumulation. It's a solid move from an index that is still some way from challenging highs.

Weekly charts are always good at keeping things simple. The S&P pushed itself out of its tight range with higher volume accumulation on a new 'buy' On-Balance-Volume trigger. We saw something similar in late 2023 that kicked off the next phase of the rally - will history repeat here?

With some semblance of market normality restored - or at least until the deadline for 50% European tariffs passes - markets are trading back at post election highs. The early year dip will have rotated weak hands and those who had profits to take from buying in 2024, out of the market, leaving a new set of opportunistic buyers and long term holders in place. Technically, things are also looking alot more positive after speed bumps in On-Balance-Volume and +DI/-DI. Going from the top we have a Russell 2000 ($IWM) making a second attempt at breaking past its 200-day MA for the month of June; remember, triple reversals off resistance are rare, so look for this move higher to stick. All supporting technicals are net bullish, alongside very strong bullish momentum. Shorts will have their work cut out trying to take profits, and any shorts left will likely have a painful Friday.

Monday offered bullish piercing patterns, and it was Tuesday that delivered with opening gaps and strong closes that moved above June highs. This brings markets closer to breaching all-time highs. It's interesting that the selling pressure on U.S. action is Iran was less than the buying pressure triggered by the "ceasefire", so you can see markets 'want' to move higher more than they want to succumb to selling pressure. The S&P has reached a point where it's now challenging the 'bull trap' from February. There are still 'sell' triggers in the MACD and On-Balance-Volume to work off, but look for an additional kick-on breakout.