Today we see the Dow and S&P 500 continue their break out of their consolidation with an upward momentum.
DOW
The Dow Jones Industrial broke out of its consolidation yesterday with an upward thrust. We continue that breakout with low volume today and as you can see with the chart below, the price bar is completely out of the consolidation today. Let’s see if this breakout continues tomorrow for more confirmation.
S&P 500
The S&P 500 also broke out of its channel with average volume. The breakout occurred yesterday and continued today. Like the Dow, we should wait until tomorrow for more confirmation if the breakout is real.
Nasdaq
The Nasdaq continues to trade in its triangular consolidation. It looks like it will continue building pressure for a day or so and break out soon. Let’s keep a close eye on it.
I would like to wait 1 more day to see if the breakout is a true one and if it does continue tomorrow, then I will feel that it is more confirmed for the DOW and the S&P 500. We still are in a consolidation with the Nasdaq but we should be able to see what will come of it soon.
Signs of a upward breakout is good and welcomed by the bulls. Let’s see how this pans out!
Becareful out there!