Solid buying on the NYSE today, with 84% upside volume, but that still isn’t the 90% “all clear” signal we were looking for. To underscore that point, just look to the Nasdaq, where upside volume was about 60% today. A little too much selective buying in tech land suggests a market that’s still a little too cautious. So while the market can always surprise, we think it may still have some base-building ahead of it before it can resume its advance. The S&P (first chart below) faces resistance at 1405, 1410 and 1416, and support is 1397-1402 and 1388. The Dow (second chart) faces resistance at 12,250, 12,300 and 12,350, and support is 12,190-12,200, 12,150 and 12,100. The Nasdaq (third chart) faces very tough resistance at 2405-2407, and support is 2385-2390 and 2375. Bond yields (fourth chart) are also range-bound here, with tough resistance just above 4.6%.
