The major averages tacked on more gains last week as they cleared the February highs and kept on cruising. The NAZ made its way to a new 52-week high, although the senior indexes have not yet followed.
The recent climb from the February lows has been a persistent one, but volume has been notably absent. While last week we did see some improvement, there still remains a lack of institutional participation (as represented by heavy volume), which points to this rally being one that may largely be fueled by short covering. Nonetheless, price has continued bouncing from the recent lows, and that certainly deserves our respect. The only question at this point is whether the NAZ is creating a bull trap with this breakout, or if instead the S&P 500 and DJIA will follow along. We should know soon enough.
As we head into a brand new week of trading, let’s examine some important levels in the indexes to keep an eye on in the days ahead. That will have the greatest influence on how individual stocks are going to move, so it’s where the trading week begins.
This clip was also posted over on the Trading Videos  site (as always), and perhaps you’ve seen it there – but in case you didn’t, I wanted to put it here on the blog for you.
Let me highly suggest clicking the “HD” on the video player and then going full-screen for best quality.
Thanks for stopping by and I’ll see you here soon with more.
Until then… Trade Like a Bandit!
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