Market Remains in Uptrend

Last week was a shortened trading week due to Memorial Day observance on Monday. The market correction ended on Tuesday.

The market closed higher for the second week in a row. The Nasdaq gained +1.36% for the week and is firmly above its 50 EMA. The S&P rose +0.74% and closed at a new all time high. The Dow advanced +0.67% and is only 18 points from hitting a new all time high. 

The bias is long at this time, however the upside volume has be light. On a weekly chart of the Nasdaq, the down volume of the correction is still stronger than the up volume over the last three up weeks. That's a potential condition for a "lower high" that could form on the weekly Nasdaq. If higher volume comes into the market, then it would add confirmation for the current uptrend.

The indices are still in "low ADX" conditions on the weekly and daily timeframes. The current up move in the market may kick the daily ADX in strong territory, but so far that hasn't happened. For now, go with the uptrend, but remain flexible in the event conditions change.