Just Another Positive Day, but Volume Slips

A last hour surge puts stocks in the green as volume slips lower.  Jobless claims came in lower than expectations, but failed to inspire the bulls.  Trading was tame throughout much of the day as volume was well below Wednesday’s level.  There wasn’t much excitement in today’s trading session; stocks were pulling back in ultra light volume consolidating recent gains.  Then the final hour hit and stocks caught a bid and were pushed to the highs of the session before the day was through.  Once again, very strong price action and goes to show you never fight a trend.

Tonight I am going to do a few charts rather than ramble on about our current uptrend.

Here we go:

Notice how VIX reversed hard, the negative divergence that was built up this week has been broken.

A move above 1160 would signal a technical breakout on this Point and Figure chart.  Point and figure charts are a great way to break down price action at a very basic level.  Here are the NASDAQ and RUSSELL 2000 point and figure charts.

NASDAQ has already put in a technical breakout and continues to act strong.

These point and figure charts look great, we have a strong uptrend and not only does volume look good on the upside, but price action is very strong.

Our big stock leadership continues to act great and with the overall market cooperating with our leadership there is no reason to think this market will roll over.  Perhaps we take a rest, but this market is strong.

Stick to the trend and ignore the noise.