The Stock Indices continue to be in search of value. This means traders are unsure of whether value is higher or lower. The result is we are in a trading range. However, for over a week, the Indices have paused at the upper extreme of a greater degree timeframe rotation. A break of the shorter term will suggest a break of the longer term as well and that should lead to a very good move. A break to the downside will simply suggest a possible test of the lower extreme.
I want to stress also, the NASDAQ in terms of the QQQ has been on fire. Not only has price expanded higher but the market internals have been strong. However, as it also paused over the last few days, the internals are showing some weakness. While that is typical in a consolidation, I would suggest using some caution and good stop management until there is an internal strengthening.
DAILY BRIEFING 200711 from Joe Mertes on Vimeo.