The DOW looked like it wanted to pause mid channel on its way up to the top of the broadening ascending channel, however, it continued until it ran into the upper trend line of the channel and then pulled back slightly.  The index is currently forming a tight Bull Flag on decreasing volume.  The key breakout level is the high of the flag at 10,342.  If  the DOW rolls over, it will likely come back down in the channel and retest the lower trend line.

The SPX rose to test the swing high from10/21 at 1101 putting in a top of 1105 and then pulling back.  We have a Cup & Handle chart pattern and the upside target is the first lip of the cup at 1101 and then 1105.  A pullback would take the index back to the bottom of the recent channel.

The COMPQ is also putting in a Cup & Handle with the first taget at 2179 and then 2190.  The index broke back above the lower trend line of the recent channel and will probably retest the lower trend line before bouncing higher.  The COMPQ settled right at 2168 one of the upside targets pointed out from last weeks blog. 

I feel that the market will continue to edge higher through the end of the year and into January.

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