Last week, the Nasdaq, S&P, and Dow all had up weeks. The Nasdaq gained +1.19%, the S&P rose +0.95%, and the Dow advanced +0.93%. But volume was not impressive and many stocks breaking out to new highs do not have strong fundamentals. Strong sectors have been consumer defensive, energy (oil & gas), and utilities.

The Nasdaq has been unable to pop above its 50 EMA, and daily RSI 20 remains weak, closing Friday at 42. In contrast, the S&P and Dow, containing more large cap and cyclical stocks, both hold above their 50 day EMAs.  The S&P is acting stronger than the Nasdaq, a change from 2013 when the Nasdaq led the way up. The Nasdaq and S&P are not in sync; this is market that has been changing its character since the correction began.