Nasdaq Accelerates Higher With Sharp Jump In Relative Performance

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Today belonged to the Nasdaq with Apple and Amazon key contributors to these gains. The index is now challenging the 'bull trap' after recent struggles. Again, we are likely looking at sideways action, but if there is a follow-through over the coming days it will mark a confirmed follow-through for the index.

On the other side of the coin, the Russell 2000 (IWM) gapped below trendline support, closing with a second of two doji. I would actually be a little more positive on these supposed neutral candlesticks as it marks a failure by sellers to push the breakdown.

The S&P was able to ride some of the Nasdaq positivity, returning above breakout support, but still has work to do to challenge all-time higher. Supporting technicals remain negative with minimal improvement despite today's price gain.

Markets have bounced back well from the CPI sell off, helped by better PPI data and the action of Tech giants. The Nasdaq has swung into a leadership role, marked by a strong uptick in relative performance to peer indices. Certainly, these gains mean the Nasdaq will hog most of the attention over the coming days.

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Russell 2000 Finds Support At Rising Trendline

Disclaimer: Investors should not act on any information in this article without obtaining specific advice from their financial advisors and should not rely on information herein as the primary ...

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