1/23/2014

A little bit of action commenced today with some drops of nearly -1% across all US indices. The results are a bit mixed, but probably bullish overall.

The S&P 500 remained in it's range of 1845-1815 despite the declines. 1820 actually held very tight, and could be confirming a rising channel on the daily chart.

The Dow technically broke out of its rising channel from Oct. 2013, and while it's low was through the current falling channel/flag, it wasn't on a closing basis. With all the other indices not breaking out in any sense, and some (Russell, Dow Transports, NASDAQ) still looking bullish as ever, it simply can't be taken seriously.

The oscillators now look like the got a chance to relax. Momentum and RSI are closer to oversold after today. Will be interesting to see what tomorrow brings.

S&P 500 Daily Chart

Dow Jones Industrial Average Daily Chart

Russell 2000 Daily Chart

1/22/2014

There isn't a ton more to say about today's price action than there was yesterday....and every other day preceding it this month. The sideways pattern on the S&P 500 goes back 3 weeks, so any breakout should be decent.

I will say that on the S&P Daily chart, we appear to be forming the third impulse wave of the Elliot cycle...looks like it could bring us to 1870.

The Russell 2000 climbed again today and made a new high. I'd assume this index is leading the next bullish charge.

S&P 500 Daily Chart

Dow Jones Industrial Average Daily Chart

Russell 2000 Daily Chart