I covered my short position on today's little pop higher in the Dow Industrials, which along with the Nasdaq, delivered new breakouts. The S&P added nearly a percentage point as Large Caps looked to make back some of the ground lost to Tech and Small Cap Indices. On-Balance-Volume will likely be bullish once volume is posted to the chart - confirming a return to a net bullish technical state.

There wasn't much to say about Friday's action. Indices which had pushed to highs continued to benefit from those moves, while indices stuck beneath resistance remained below resistance. The S&P was a case in point for the latter. Small losses of from 2,190 kept the index pegged to August tight trading action. Volume was light, affirming the action of consolidation. Technicals - aside from On-Balance-Volume - remain positive, which suggest a breakout is favoured for this week.

While Trump's election provided the catalyst to stimulate frenzied buying, it has been Semiconductors which have done most of the hard work. Today's gain provided a cushion to the consolidation built up since September. Since the election result the buying in the markets has looked panicked, but action in this index has look very controlled.  This is good news for Semiconductor stocks, but it should be good news for the Nasdaq and Nasdaq 100. Of the Nasdaq, it's approaching resistance from September. Action in the Semiconductor Index, along with net bullish technicals, suggests further gains could be on the table.

Market divergences continued to play out. This time, the S&P and Semiconductors broke clear in fresh breakouts, but the likes of the Nasdaq and Nasdaq 100 haven't yet followed Semiconductors higher. The S&P cleared the last swing high, but still has August highs to breach. Technicals, outside of On-Balance-Volume, are bullish. The Nasdaq finished higher but hasn't yet marked new all-time highs. As with the S&P, technicals - other than On-Balance-Volume - are bullish.