Good Morning Traders!
Pinball Buys kicked in and the market traded from low to high with good breadth and OK volume. Many shares continue to make new all time highs. The daily charts have been consolidating the recent swing up and a Buy Anti pattern on the 3/10 oscillator is forming (see chart of the Dow below). 1844.50, then 1846.50 are the two main pivots for the SPs to the upside. The Dow has the furthest to go to make all time new highs, but many charts like IBM (see weekly chart below) can easily kick in to high gear.
Copper is forming a similar consoldiation to the DOW and a Buy Anti over the next 1-3 days can push it out of its 4 day consolidation pattern. When markets form these midway consolidation patterns, (metals, indexes, etc) the tests up and down can be extra whippy.
Bonds, tens and bunds remain in their daily chart formation. The ten year yield chart is just testing key resistance. If it takes this out (2.77%), a new leg can unfold. Grains are nicely marked up at this point. However, a flush below the daily 5 SMA will still set up a Buy opportunity. And the beans have a three bar triangle breakout pattern.
Sugar is forming a 120 minute Buy. See chart below ….
The short term summation tick indicator is neutral. Sentiment indicators have not hit bullish excess levels yet. Can the SPs push to new all time highs on Friday?
Wishing everyone a great weekend! Linda