Wednesday, December 08, 2010

Daily Market Commentary: Bears Fail To Prevail

Yesterday's black candlesticks and 'shooting stars' had set up an easy slam dunk for bears, but in the end they couldn't take advantage. Early losses were quickly recovered and by the end of the day some markets had managed to close higher. Tomorrow could see a drive to Tuesday's highs and beyond, negating the bearish implications of 'Shooting Stars' and black candlesticks.

The S&P was one such market to close higher - although it did not get close to challenging Tuesday's highs.

($SPX)

via StockCharts.com

The Nasdaq held its 2,579 breakout

($COMPQ)

via StockCharts.com

But the Russell 2000 was little changed

($RUT)

via StockCharts.com

For tomorrow, look for further upside from the S&P and Nasdaq. But for the Russell 2000 it might be better to swing trade Wednesday's doji.

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