The stock indices are strong but approaching KRAs (Key Reference Areas) from where I expect a more two-sided trade to come into play. The Nasdaq 100/ENQ is not far from a new rally high, and the S&P/ES is only about 1.5% from a new high. At this point I don’t expect those levels will be exceeded (especially in the ES) without some Balance that includes retracement occurring. The Russell 2000/TF continues to show relative weakness against the recent highs.
Additional charts and important price/Breadth set-up in Member’s Blog.
