Jan. 17, 2007 Stock Market Recap

There’s a ton of data due out tomorrow, including CPI, two housing reports, initial claims, leading indicators and the Philly Fed. Add all the earnings and expiration into the mix and you have a good case for just about anything happening, regardless of what the short term technicals say. So having said that…

Volume increased across the board today but since the Dow and S&P were down such a small amount that I don’t think they qualify as distribution days. The Nasdaq, on the other hand, did have a distribution day today with a 0.74% drop on increasing volume. Its chart still looks very strong though. I think it’s key for it to hold above the December highs (~2470). If it closes below that may embolden sellers who will call last week’s move a false breakout.

The December highs look important on the S&P chart too because they’re acting as resistance. Bulls should want to see a solid close above that level.

Trend Table

No changes

Trend Nasdaq S&P 500 Russell 2000
Primary Up Up Up
Intermediate Up Up Up
Short-term Up Up Up

(+) Indicates an upward reclassification today
(-) Indicates a downward reclassification today
Lat Indicates a Lateral trend