The DOW is in a trading range between 9200- 9438.  Volume has been decreasing, so there is indecision and lack of conviction.  Some technical analysts are calling for a substantial pullback.  From a fundamental perspective it seems that the market should be succumbing to the headwinds.  However,  I believe the market will have pullbacks which is a healthy process, but nothing approaching the bearish move that some project.  For the short term, I see a continued climb.  With that said, I will follow the market and if it should decide to correct, I will be on board for the move.  Look for key support and resistance levels and assess how the market is reacting to those levels and you will have your answer as to the direction.  Don’t fight it, just go with it.

The SPX is the same story as the DOW.  There will be opportunity to catch a nice move out of this consolidation.  The trading range is currently 992-1018.  Look for volume on the breakout/breakdown and go with the move.  Don’t try to guess the direction but rather, let the index tell you what it is going to do and hop on board for the ride.

The COMPQ has been the leader in the recent bull run.  There is no reason to believe that will change.  Look for the technology laden index to make the first move and lead the way out of this stagnant environment.  The current trading range is 1962-2016.  Watch these levels closely and be aware of a breakout/breakdown and play it accordingly.  Volume will be your key indicator to watch in order to ascertain the credibility of the break.

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