Moving Up
S&Ps trading at 1333 in the late morning, near the highs of the day. The market gapped down on the Yahoo news, then hit a low at 1319.30. Since that time the market has been mostly up.
The next important target is 1335-1335.50, and then 1339, and above that 1341.50.
As we stated this morning, the market had to stay above 1314.50-area to maintain yesterday’s breakout.
From this point, to break the intermediate trend S&Ps would have to go below 1328 and then not get over 1332 again. If that happens, S&Ps should test 1323 and below that 1320.
In the Pit this morning, I saw a large institution taking profits at between 1326.50 and 1328.50. After the market absorbed that, we were able to move higher.
NASDAQ, meanwhile, was led to the upside by the second tiers. The SOX is also strong, with an upside target of 700. Upside target for the NASDAQ is in the 2500-2700 level.