The shortened week started where it left off, with gains all round. However, it was left to Small Caps to enjoy the best of yesterday's action. The challenge for the index will be taking out the 'bull trap' with resistance likely to be tested today. It may even offer a short play with a stop on a break of the 'bull trap' neckline.
The Nasdaq added to its breakout, although volume was modest. Technicals continued to gain ground. However, there was little else to add.
The S&P had a low key day. It didn't challenge its high, and the gain was small. However, volume registered as accumulation, although there was an acceleration in the relative strength shift from the S&P to Small Caps.
The semiconductor index breakout is well ahead of the game, and can afford some downside and still maintain its breakout.
Bulls will look to the Nasdaq to maintain its form today, while bears may try and sneak an opportunity out of the Russell 2000.