As you will see in the Briefing, the Stock Indices have been in an area of rotation for almost two months. The NASDAQ has been extending its gains, but the other Indices are reluctant to follow.
While the rotation has continued, last week saw Stocks rotate at the upper extreme of the longer term rotation. This is often the case before a financial instrument makes a breakout move. Therefore, the extremes of last week should give us great areas of trade location.
A break above the upper extreme will suggest a breakout in a longer term timeframe, assuming the market internals are confirming. A break to the downside will suggest simple rotation lower to possibly test the lower extreme. Use patience and wait for a break. It is very easy to get chopped when the markets are in simple rotation.