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The week finished on a high note, with breakouts seen in the Russell 2000, the S&P 500, and the Nasdaq. The Russell 2000 went a step further, witnessing a breakout on the weekly time frame, too. The break on the weekly time frame for the Russell 2000 is critical, as it marks the start of a right-hand-side base after repeated attempts to clear the $195 mark had failed. If there is a concern (across the board), it's that breakout volume was modest.

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The Nasdaq kept up with its step-by-step rally, delivering a breakout with new 'buy' triggers in the MACD and On-Balance-Volume, although the former indicator had flat-lined, so it's not the most effusive 'buy' trigger.

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The S&P 500 gained just under 1%, a little less than the Nasdaq, but the breakout was just as valid. The index has a much stronger accumulation trend than the Nasdaq, and with all indices in alignment on breakouts with small-cap leadership, all indices should continue to perform well.

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Heading into next week, we may see some early weakness, and if we do, it will be important we don't see a close below Friday's open. If this was to happen, we would be at risk of a 'bull trap.' Intraday losses, even losses that undercut the breakout, would be tolerable. It's how the markets finish that's important.

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