ECB action ruled Thursday's action across global markets and currency pairs. For many indices, it marked a pause in the New Year decline, but many of these same markets remain range bound by December's swing lows and the end-of-year highs. From a trend perspective, nothing has really changed.
The S&P 500 finished above a converged, yet flat-lined 20-day and 50-day MAs. There was some technical improvement with a fresh MACD 'buy', and a marked accumulation day leading to a 'buy' for On-Balance-Volume, but whipsaw risks for each of these signals remains high. Bulls would probably be best served by some tight action just below 2,100, then a break higher. It does look like the bearish head-and-shoulder reversal is done, at least in its prior form.
The NASDAQ also finished above channel resistance, and turned net 'bullish' technically (a good long term marker). It will likely be the first index to challenge 2014 high, and maybe help bring the S&P and Dow along with it.
The Russell 2000 also made a move out of its channel, but it finished in the middle of the year long 'handle'. A continuation of the 2009-2015+ rally is going to need Small Cap leadership. Yesterday's action will have done it no harm.
Yesterday's action was great for bulls trading in the short term, but it didn't really change the picture on the daily. Narrow range-day action over the coming days would offer a swing trade opportunity, but it's an intraday traders market at the moment.