Whether or not you are compelled to act on today’s FTD, the market does seem to be bouncing. Given the current market environment, this rally will probably last a week or two and get turned back by all of the overhead supply at the 2700-2800 level on the NASDAQ. To prove this new uptrend is real the indices will have to sustain the uptrend through this area of resistance, volume will have to be more convincing, and the leaders will have to begin breaking out of recognizable chart patterns (few in sight). Today the market had a few stocks move up on healthy volume. A handful of stocks acting well does not alleviate my numerous concerns about the market (see "Is the Bull Market Over") nor the fact that we are being held hostage by the news of the day.  

 

Best Returns,

 

Scott O'Neil

President

MarketSmith, Incorporated

 

Follow me on Twitter @WScottONeil