Coolhand's Market Analysis

Originally Posted by coolhand

The bulls kept the rally going today, posting solid gains by the close.




Price on both charts continues to put the 200 dma further in the rear view mirror, but potential resistance looms not far above. The goods news is that price has broken above the medium term range, so now its the previous peak made in June that needs to be tested and hopefully broken to the upside. Volume remains on the light side, but momentum is starting to turn up a bit.

Breadth remains bullish.

We could see a pullback anytime now, given how much the market has recovered over the past week or so. Any pullback would likely be a buying opportunity, but it could be a tricky play with resistance overhead. Then again, it may not matter if the bulls power this market forward. We'll see what happens this week.

I remain bullish.