The Stock Indices finished Thursday overbought. That suggested the possibility of some type of rotation to work off the overbought condition. Friday opened with the Indices appearing to move lower, but that was quickly reversed. While the NASDAQ tried to sell-off, the S&P held firm, and the Russell immediately moved higher. Market breadth was weak but not at an extreme. New highs continued to expand, and the Industrials and Transports exploded. They all closed at or near their highs on Friday. This suggests a continuation of the move higher on Monday. However, watch market breadth closely. If it does not expand, it could suggest another pause or rotation down.
DAILY BRIEFING 210313 from Joe Mertes on Vimeo.