So much for my little theory about the Nasdaq staying in that triangle/coil I pointed out this morning. The market put in an impressive gain today on strong volume. The Naz even closed above the oh-so-important 200-day moving average. The S&P traversed its 50 and 200 DMAs today. It looks like somebody is trying to load up ahead of the big event next week. If it weren't for the election I might be tempted to take a stab at some longs right here. But I'll just continue to wait...
Back up a little. Didn't the Nazz rally right into the top of the downward channel that defines the downtrend for the year? It is also right back to the high of October. Some follow-through here *would* be impressive, but how often has the market been that easy this year?
Still looking at indices. Note the S&P 500 rallied right to the top of the old downtrend channel. Hmmm...coincidence? I would encourage a review of all the major indices...some interesting developments again!