This 2-pack highlights that the Dow and S&P remain inside of quality rising channels (A). Both hit rising support on 2/9 and rallied.
“X” marks the spot that bulls want to see taken out to the upside. If this is accomplished, buyers should come forward. What do bulls Not want to see? The “X” remains overhead resistance and break below rising channel support follows.
Below looks at the NYSE Advance/Decline line:
The A/D line remains in a bull trend and nothing of late has changed that. In 2014 the A/D line kissed the underside of the channel and turned weak at (1). “X” marked a spot where the A/D got heavy and the broad market struggled to move higher for over a year.
Of late the A/D line kissed the underside of the rising channel again. “X” marks the spot where bulls don’t want to see weakness get started!
