I got burned badly on my day trade expectations for Friday, but it was another solid end-of-week for market bulls. For the S&P, this meant further gains in relative performance over the Russell 2000 (IWM) on overbought stochastics.

The Nasdaq took a slightly longer route to banking its weekly gain, experiencing a weekly intraday spike low. The Nasdaq is outperforming the S&P (outperforming the Russell 2000) and like the S&P it enjoys solid technical strength.

I had expected more from the Russell 2000 (IWM) but it spent another week experiencing further indecisiveness, closing with a "spinning top". However, the end-of-week finish is close enough to $195 support to consider support as holding. Technicals are a little more mixed with On-Balance-Volume switching to a 'sell' trigger as the index underperforms relative to peer indices.

As a final note, one index performing well is the Semiconductor Index. It has defended its 20-day MA with considerable ease since October and should have enough momentum to return to a challenge of its January high at 4,566.

For the coming week we may see a slow down in the weekly advance, but bulls have the edge. The post-Covid hangover bear market is near an end, but it may be a case of three steps forward, two steps back.

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