Thursday, May 28, 2009

Stock Market Commentary: Holding Station

Tech continued to lead the way with indices holding on to their gains with heavier volume. Technicals remain mixed although the MACD trigger line is on the verge of a bullish cross above the bullish zero line.

Large caps did enough to maintain form but lacked convincing volume. The 200-day MA overhead will keep long term interest away so look for large caps to break first.

The Russell 2000/small caps has the same issue as large caps with the 200-day MA lurking overhead to add supply

It's hard to see tech been able to drag everything higher (i.e. above their 200-day MAs) but they are doing what they can.

Dr. Declan Fallon, Senior Market Technician, the free stock alerts, stock charts, watchlist, multi-currency portfolio manager and strategy builder website. Forex data available too.