Tuesday, January 05, 2010
Signs of Market Strength
After having underperformed for much of the end of 2009, financial stocks (XLF; above) have begun 2010 in strong fashion, with banks benefiting from the steep yield curve.
Meanwhile, as my morning tweet noted, Monday's strength registered over 2000 20-day highs, an expansion from last week's peaks. We also made new advance/decline highs, and a majority of stocks in my basket returned to bullish trend status.
As long as we stay above Friday's lows, the trend presumption--as well as market themes-- favors the upside.