Mark this in your book to remember: a news driven market during traditionally low volume trading time corrects on low volume with strong breadth. It is like a perfect storm and they only come around rarely.
Now the effort goes into qualifying this thrust and looking for waning strength. We would like for the Zweig to go overbought (>61.5) or at least push to a higher value in here, like close to 60. If we could do that today, we would be using our happy feet:
We already have a higher high on the CVI, and that indicates that the strength up was much greater than the strength down. We are liking that for follow-through confirmation.
The 40 DPI scares us just a little based on the size of the move, but it, too, is positive for higher prices and there is room between here and the elite 90s and if this is a real bull run, we will get to the elite 90s.
This chart was a tell all along on the market coiling and remains strong:
Our trenders, while bending and putting the trend under review, have turned. The next alarm will most likely be real so we will be watching closely.