Wednesday, January 05, 2011

Daily Market Commentary: Bulls Push On

Monday's gains are proving themselves to be more than just a flash in the pan. Volume picked up to register an accumulation day for some key indices.

The S&P continues its advance, plotting a course through the middle of its rising channel. It's looking good for further gains.

($SPX)

via StockCharts.com

The Nasdaq presented another buying opportunity at the open, working off combined support of 2,670 and the rising channel. Good volume and lots of room to get to channel resistance. Blot of the paper is the MACD 'sell' which is still in play.

($COMPQ)

via StockCharts.com

The Russell 2000 was able to dig in at its 20-day MA.

($RUT)

via StockCharts.com

While the Nasdaq 100 reversed the MACD trigger 'sell' but continues to run below former channel support. More likely this is a shift to a new, slower, channel.

($NDX)

via StockCharts.com

Even the semiconductor index got into the action with buyers stepping in at channel support.

($SOX)

via StockCharts.com

Look for the buying to continue and take into consideration the possibility of a new, slower channel for the Nasdaq 100. Bulls taking it slow.

Follow Me on Twitter

Build a Trading Strategy Business in Zignals



Dr. Declan Fallon, Senior Market Technician for Zignals.com, offers a range of stock trading strategies for global markets, also available through the latest rich internet application for finance, the Zignals MarketPortal or the Zignals Trading Strategy MarketPlace.

Zignals offers a full suite of financial services including price and fundamental stock alerts, stock charts for Indian, Australian, Frankfurt, Euronext, UK, Ireland and Canadian stocks, tabbed stock quote watchlists, multi-currency portfolio manager, active stock screener with fundamental trading strategy support and trading system builder. Forex, precious metal and energy commodities too.

Build your own trading system and sell your trading strategy in our MarketPlace to earn real cash. Read what others are saying about Zignals on Investimonials.com.
JOIN US TODAY - IT'S FREE!
 
f9229fcfd1b1390be00cfccc86c90349c93a4179bf4227457c