The NASDAQ is comfortably above its breakout support and today’s intraday swing barely lost ground. Technicals are net bullish with no bearish divergence to worry about. The index is 11.7% above its 200-day MA, which is outside of the 85% of historic extremes.
Likewise, the S&P accelerated its gain after a flat-line period. Buying volume was modest but technicals were bullish.
The Russell 2000 added near 1%, but the gain wasn’t enough to generate a breakout. However, it is holding a minor support level of $228, making this a good place for a trade. Technicals are net bullish.
We are probably a day or two away from a Small Caps breakout, which when it happens, will align all markets with breakouts. Because the Russell 2000 is nested below $234 – the area around which the March swing high was trading – it means today’s action offers a relatively low key opportunity to get in before momentum traders take over.