Today's gain provided a cushion to the consolidation built up since September. Since the election result the buying in the markets has looked panicked, but action in this index has look very controlled. This is good news for Semiconductor stocks, but it should be good news for the Nasdaq and Nasdaq 100.
The S&P poked its head above the September swing high associated with the downward channel, but it hasn't yet fully cleared market congestion from August.
Meanwhile, the Russell 2000 has been tearing away from 1,263 resistance. It has moved from 1,150s to 1,300s in a very short space of time. Some consolidation has to be on the table soon, so those looking to buy would probably be best to wait.
There wasn't a whole lot of action to today - given what's happened since election day - but who knows what tomorrow will bring. Some easing feels inevitable, but if it can hold near recent highs it could set things up for a very positive end-of-year 'Santa' rally.
You've now read my opinion, next read Douglas' blog.
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Dr. Declan Fallon is the Senior Market Technician for ChartDNA.com, and Product Development Manager for FirstDerivatives.com. I also trade on eToro and can be copied for free.