No follow through, but healthy action saw markets hang on to yesterday's gains. Volume declined to keep sellers at bay. The S&P is still working off a 'sell' trigger in the MACD and On-Balance-Volume.  However, the index remains above 20-day and 200-day MAs.

A very good day for bulls say yesterday's weakness blown away in decisive fashion. Volume climbed to register an accumulation day for the indices. The best of the action belonged to the Nasdaq 100. It gained nearly 2% in a move to challenge the 'bull trap'. It hasn't done so yet, but tomorrow could be the day new highs are posted for 2015. Today's gains came with a 'bull cross' in On-Balance-Volume.

It was going to be too much for bulls to follow yesterday's gains with a repeat day, but they were unable to maintain what gains they had achieved by the close of business. This translated into bearish 'gravestone' doji for many of the indices. If true, then be wary of weakness off the open, as this may not reverse after the first half-hour of trading (an intraday reversal point). The S&P has the 'bear trap' to work with, and unless the 2,019 swing low is breached the 'bear trap' remains valid. Volume climbed to register as distribution, and the 200-day MA was tagged as resistance. However, relative performance remains good.

Today was a decent day by bulls, coming in at key moving averages and closing the day with bullish engulfing patterns in major markets. This has the look of a buy-the-dip style low, but needs follow through over the next 5-7 days. The Nasdaq found buyers just above 4,900 and the 50-day MA. Buying volume was a little light, but that might be enough to lull shorts into a false sense of security.  The relative performance of the index continued to shift towards Large Caps and away from Tech, which may be a worry if the rally doesn't kick on.