Breakouts Hold on Minor Changes as Russell 2000 is Poised To Follow

The Nasdaq didn't lose ground, keeping its breakout run intact. Technicals are net positive with no bearish divergence to be concerned about.


The S&P remained flat as the successive days of gains narrowed to today's small doji.  The next move is likely to be a loss, but when selling does occur it will be important for breakout support at 4,288 to hold. 


The Russell 2000 did give back a little more gronnd, but did so on light volume and is shadowing resistance in preperation for a breakout. It's looking ready to lead.


Tricky times for the indices.  We have breakouts in the S&P, but when looking at individual sector strength it appears to be Technology stocks doing all the work.  Not surprisingly, the Nasdaq is also performant, but it's going to be small caps which will need to break out if confidence is to be restored to this market. 

You've now read my opinion, next read Douglas' blog.

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