Tuesday, March 02, 2010

Morning Briefing for March 2nd: Consolidating

We are building volume in the 1119/1120 area of the ES futures (above), with most trade above the volume-weighted average price; more stocks up from their open than down (27 to 13 in my basket); but no real strength in Cumulative Delta. Relative volume continues below average, and that leads to slower, narrower markets. NYSE TICK continues positive, and we've seen continued outperformance by the Russell 2000 and NASDAQ issues. Altogether, we're consolidating after a bull move, but most market dynamics remain bullish--particularly in the broad market.