The S&P reversed the move lower after it failed to crack support of the tight range. Bulls look to be making a better fist of this, and there is a good chance for some follow through higher. On the negative side, the index's relative performance remains a problem as it sharply underperforms against both Tech and Small Cap Indices. It also have negative technicals in the form of On-Balance-Volume and MACD, although the latter is just shy of a 'strong buy' signal.
The Nasdaq is just a few points shy of getting past the November high. Volume is maybe a little disappointing, but positive action has returned all technicals to net bullish.
The Nasdaq 100 is doing better as it challenges the October/November 'bull trap'. The index is slightly under-performing against the Russell 2000, but this could quickly change.
Finally, the Russell 2000 took a step closer to its 200-day MA. The recent rally has helped the index outperform its peers, but it needs to maintain this momentum if it's to get past the 200-day MA.
For tomorrow, it will be case of a turning the screw on shorts and looking for the Russell 2000 to challenge and break through its 200-day MA, and for the Nasdaq 100 to negate the 'bull trap'.
You've now read my opinion, next read Douglas' and Jani's.
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Dr. Declan Fallon is the Senior Market Technician and Community Director for Zignals.com, and Product Development Manager for ActivateClients.com. I do a weekly broadcast on Friday's at 13:30 GMT for Tradercast, covering indices, FX and gold, silver and oil - all are welcome! You can read what others are saying about Zignals on Investimonials.com.
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