S& P 500 Makes New All Time High

On Tuesday, the market opened higher and climbed higher, then it fell to test the opening price. It held, and climbed higher in the afternoon, closing near the highs of the day. This was the 3rd day in a row that the market has opened up, but this is the 1st day of the three where the market closed strong.

The Nasdaq rose +69 points (+1.64%) and the S&P gained +13 points (+0.70 %) and closed at a new all time high. The Dow gained +74 points (+0.46%) on the day. The small-cap Russell also had a good day, up +1.34%. 

Volume was higher today, a positive sign. Advancers held a 7 to 3 edge over decliners, and up volume beat down volume by a 5 to 2 margin. All three major indices have now advanced for 3 days in a row. The big question is whether or not the price/volume action has been strong enough to end the correction. At this point, no.

Today's strong Nasdaq performance and the new S&P high are both bullish signals, but the the indices are nonconfirming. While the S&P made an all time high, the Nasdaq has not yet made a new swing high, and it just closed above its 50 EMA today. In addition, the up volume over the last 3 days has been weaker than the recent down volume.