Daily Market Commentary: Another Strong Day

Yesterday was good, but today was surprisingly better. Volume climbed to register yet another accumulation day; the past four heavier volume trade days have been tied to buying. Bulls have the bit between their teeth.

The S&P finished at resistance defined by September and October swing highs. Technicals are in excellent shape, but has it the momentum to break through?

The Nasdaq put further distance from its converged 20-day, 50-day and 200-day MAs. Like the S&P, it is well placed technically to support further gains, although On-Balance-Volume only recently turned back to the green.

The Russell 2000 had another good day, and relative strength continues to show strong leadership from the Small Caps sector. Look for this to continue in the days and weeks ahead.

On a final note, the Nasdaq 100 - which had been lagging the Nasdaq a little - cleared resistance.

It seems too much to ask if tomorrow will make it three good days in a row!


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Dr. Declan Fallon is the Senior Market Technician and Community Director for Zignals.com. I offer a range of stock trading strategies for global markets which can be Previewed for Free with delayed trade signals. You can also view the top-10 best trading strategies for the US, UK, Europe and Rest-of-the-World in the Trading Strategy Marketplace Leaderboard. The Leaderboard also supports advanced search capability so you can tailor your strategies to suit your individual requirements.

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