Tuesday’s strong market action had the bears on the run and continued to strengthen the 52 week new highs on all three tracked indexes. We got a couple of warning shots yesterday between the NYSE missing on the daily bar and the 40 DPI index going to near neutral. But all is well today and you need to stay on the bull side until we see weakness creep in.
Another bullish plus was the lack of 52 week new lows that for the first time in 15 trading days all three indexes put in more new highs than lows. All breadth in now in the bulls column and we need to watch for exhaustion which should show up in divergences.
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