What was looking very good into the last couple of hours just ended up been good.  The weakness from yesterday was pushed aside and there is a buying opportunity for aggressive traders with a loss on yesterday's lows. The bullish lead was the Russell 2000. It was in the process of breaking from the 'bull flag', but ended the day back inside it. Technicals still hold to a MACD 'sell', with a weakening +DI/-DI and stochastic. However, price action is the best of the indices.

There wasn't a whole lot to today's action. The coiling action unwound with a relatively unconvincing push down. There was no significant break of support or move out of prior consolidations for major indices. Volume climbed in confirmed distribution. The S&P is resting on rising support having edged an intraday break of such support. Technicals are as they were yesterday with a 'buy' in Stochastics and MACD and a 'sell' in On-Balance-Volume and Directional Indicator.

Monday's candlestick finish for many of the lead indices was an inside day of an inside day. How this coiling action unravels remains to be seen, but trading a break of Monday's high/lows with a stop on the flip side would give swing traders something to work with. The S&P is playing into a rising wedge with technicals net bearish, although intermediate term stochastics and the MACD are on 'buy' signals. This looks like it will be break down, but those who follow my ChartDNA posts will see an improving intermediate term picture (for bulls). I should add, I'm holding a Dow Jones short position, so my bias is bearish - but I have doubts...

After my 2 week work break I've come back to a mixed message market. The question is which market is in charge? The clear leader over this period has been the Semiconductor Index. It pushed to new highs in a strong relative push. This restores the net bullish technical picture for this index dating back to July. The question is how much strength in this index can pass through to the Nasdaq and Nasdaq 100. The fresh MACD trigger 'buy' is a new pullback signal with a stop below the recent swing low.