Tale of Two Indexes - Posted by Coolhand

The week has begun with an impressive rally in the S&P. The DWCPF moved higher as well, but the action was much less impressive.

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Price on the DWCPF gapped fairly high at the open and was immediately met with significant selling pressure that took it back to neutral and even negative territory for a short while. The S&P was a much different story as price gapped at the open and rose higher for about 3 hours before going sideways; but it kept its gains. The S&P chart is certainly bullish at this point, but the DWCPF remains more questionable as to whether it will rejoin the S&P at fresh highs.

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Cumulative breadth rose and remains bullish.

I am going from modestly bullish on the S&P to bullish, but will remain neutral on the DWCPF.

 

[jstrime]

Thanks. I only want to add the DWCPF rose 4.5% in the previous three trading sessions. Nothing to despair about, but agree short term could be volatile.